Faster Labor Contracts Act

Faster Labor Contracts Act
H.R. 5408, sponsored by Rep. Norcross (D-NJ)
S.844, sponsored by Sen. Josh Hawley (R-MO)

The Faster Labor Contracts Act (FLCA) would give government mandated arbitrators the power to impose the terms of first union contracts on workers without a vote, sidelining them from decisions that affect their jobs, working conditions, and families.

The FLCA is almost identical to the binding arbitration provisions in the Protecting the Right to Organize (PRO) Act, sponsored by Sen. Bernie Sanders (I-VT) and Rep. Bobby Scott (D-VA). A comparison of the legislative text is available here. “Binding arbitration” means that a third party hears both sides of a dispute and then makes a decision that both sides are required to accept.

FLCA would force contracts on workers and employers—even allowing government bureaucrats with expanded authority to decide who makes these important employment decisions for workers in some instances. It would require expedited negotiations after a union organizes a company and provides that, if an agreement is not reached within mere months, the federal government will step in to engage in mediation and, then, binding arbitration.

Within 10 days of receiving a request to collectively bargain with a newly-recognized union, the parties must beging bargaining collectively. If the employer and union do not reach an agreement on a first contract within 90 days of the beginning of bargaining—regardless of whether they are negotiating in good faith, and for any reason at all—either party can notify the U.S. government’s Federal Mediation and Conciliation Service (FMCS) to intervene and require mediation. This would likely necessitate a large increase in employees at the FMCS.

If mediation fails to produce an agreement within 30 days of that request to FMCS, the parties have 14 days to choose members of a three-person arbitration panel.  The panel’s majority decision will settle the dispute and be binding on both parties for a period of two years. If the parties cannot agree on the panelists within those two weeks, FMCS bureaucrats will select panelists for them and will impose a collective bargaining agreement on the workers. This would result in a massive expansion of federal government authority into private sector negotiations and there is no statutory timeline for how long the arbitration panel can take to render the binding contract on the parties.

This is not simply a faster path to an initial union contract. It is a process that could replace worker consent with government-directed outcomes. The workers most affected by the agreement may never have a meaningful say in the terms of this first contract that govern their pay, benefits, schedules, and day-to-day working conditions.

In fact, during a recent U.S. Senate Committee on Health, Education, Labor, and Pensions hearing, when asked about his thoughts on his union contract being decided via binding arbitration, a union shop steward said, “then that would be removing the democracy from the workplace, which is the whole point of the union, giving the worker a say.”[1]

Workers should be at the center of decisions that affect their jobs, working conditions, and families—not sidelined by a process that would empower government-appointed arbitrators to impose wages, benefits, and workplace rules on their behalf.

FLCA was the first bill introduced from Sen. Josh Hawley’s (R-MO) labor framework.

[1] https://www.help.senate.gov/hearings/labor-law-reform-part-2-new-solutions-for-finding-a-pro-worker-way-forward – 59:00.

Additional Resources

 

Opinions

Wall Street Journal: A GOP Gift to the Cultural Left, Editorial Board https://www.wsj.com/opinion/house-faster-labor-contracts-act-gop-labor-unions-b6fb1f68

Wall Street Journal: Unions Place Culture Wars Front and Center, Michael Alcorn https://www.wsj.com/opinion/unions-place-culture-wars-front-and-center-fae9eb94

DC Journal: Why Would Any Republican Support Forced Unionism?, by Steve Moore and Phil Kerpen

The Wichita Eagle: Marshal-backed bill threatens employer-employee relations, by Brent Bowers

The Hill: Even union officials don’t support this union demand, by F. Vincent Vernuccio

Washington Examiner: Republicans must not help Democrats gut workplace democracy, by F. Vincent Vernuccio

Wall Street Journal: US Labor Law Needs a 21st Century Update, by Rachel Greszler

Washington Examiner: Faster Labor Contracts Act would silence workers’ voices and empower bureaucrats, by Rachel Greszler

Wall Street Journal: Josh Hawley Chooses Unions Over Workers, by Mark Mix

Wall Street Journal: When Labor Policy Leaves Its Workers Behind, by Kristen Swearingen

Real Clear Policy: Faster Labor Contracts Act Bad for Workers and Small Businesses, by Brian Darling

The Hill: The Faster Labor Contracts Act disempowers workers, by Thomas Beck

Reason: Josh Hawley’s Pro-Union Bill Would Let Washington Write Your Contract, by C. Jarrett Dieterle

NY Post: GOP’s fatal attraction to unions is the start of a bad romance, by Ken Girardin

Washington Examiner: Congress is about to undo DOGE’s biggest win, by Jace White

The Ohio Press Network: Forced Contracts, Fewer Choices: The Risk of the FLCA, by Lisa Chaffee

Hometownsource.com: Process matters in labor law debate, by Kip Christianson

The Hayride: An Example of Big Government Overreach We Seriously Do Not Need, by Charlie Davis

Lootpress.com: The FLCA is a Bad Deal for Both Workers and Employers, by Bill Bessett

Mid Hudson News: Workers deserve a vote, by Robert Pape

Broad and Liberty: Don’t Let the FLCA Fool You, by Josephine Ferro

The Star News Network: Another Washington Overreach into the Workplace, by Tom Zawistowski

Mycountylink.com: How Organized Labor Hurts Company Performance, by Aaron Flatter

Neuse News: Faster Labor Contracts Act (FLCA) bill, by Brent Heath

 

Editorials and Articles

Washington Post: A bipartisan bill that would hurt employers and unions

Wall Street Journal: The New Big Labor GOP

Daily Wire: Republicans’ Latest Pro-Union Move Has Some Conservatives Sounding The Alarm

 

Coalition Letters

Coalition letter signed by I4AW and 28 other organizations

Coalition letter signed by 376 employer organizations

 

Papers and Resources

National Taxpayers Union Key Vote Alert

Club For Growth Key Vote Alert

AFP Urges Members of Congress to Oppose the Faster Labor Contracts Act and Discharge Petition

Coalition for a Democratic Workplace White Paper: The Arbitration Trap

Competitive Enterprise Institute: The Faster Labor Contracts Act Would Force Workers Into Unions They Never Voted For

National Retail Federation: The Faster Labor Contracts Act violates the principles of voluntary agreement, by Ed Egee

Americans for Tax Reform: Congress Should Reject Faster Labor Contracts Act

US Chamber of Commerce: Don’t Let Washington Take Your Job Rights Away

Associated Builders and Contractors: The Faster Labor Contracts Act Is Not a Pro-Worker Policy

Hoover Institution: What’s Wrong with the Employee Free Choice Act?, by Richard A. Epstein

Heritage Foundation: Binding Arbitration: A Bad Deal for Workers, by James Sherk