Both federal and state law governs the practice of arbitration. The arbiter then issues a decision binding on the parties. The parties select a neutral third party ( an arbiter) to hold a formal or informal hearing on the disagreement. It is commonly designated in collective agreements between employers and employees as the way to resolve disputes. ArbitrationĪrbitration is a method of dispute resolution used as an alternative to litigation. They may also provide guidelines for those employers and employees not covered by the NLRA, such as agricultural laborers. State laws further regulate collective bargaining and make collective agreements enforceable under state law. strikes, lock-outs, picketing) each side may employ to further their bargaining objectives. The NLRA also establishes regulations on what tactics (e.g. Proposals which would violate the NLRA or other laws may not be subject to collective bargaining. It does not require either side to agree to a proposal or make concessions but does establish procedural guidelines on good faith bargaining. The NLRA requires the employer to bargain with the appointed representative of its employees. The act prohibits employers from interfering with this selection. The NLRA establishes procedures for the selection of a labor organization to represent a unit of employees in collective bargaining. Decisions and regulations of the National Labor Relations Board (NLRB), which was established by the NLRA, greatly supplement and define the provisions of the act. Constitution. It applies to most private non-agricultural employees and employers engaged in some aspect of interstate commerce. The NLRA was originally enacted by Congress in 1935 under its power to regulate interstate commerce under the Commerce Clause in Article I, Section 8 of the U.S. It is also referred to as the Wagner Act, and explicitly grants employees the right to collectively bargain and join trade unions. The main body of law governing collective bargaining is the N ational Labor Relations Act (NLRA). Collective bargaining is governed by federal and state statutory laws, administrative agency regulations, and judicial decisions. The result of collective bargaining procedures is a collective agreement. Collective bargaining is the negotiation process between an employer and a union comprised of workers to create an agreement that will govern the terms and conditions of the workers' employment.
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