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INDUSTRIAL RELATIONS

GLOSSARY OF CURRENT

INDUSTRIAL RELATIONS
A N D W A G E TERMS

Bulletin No. 1438

UNITED STATES DEPARTMENT OF LABOR
W. Willard Wirtz, Secretary
BUREAU OF LABOR STATISTICS
Ewan Clague,

Commissioner







GLOSSARY OF CURRENT

IN D U S TR IA L R E L A T IO N S
A N D W A G E TERM S

Bulletin No. 1438
May 1965

UNITED STATES DEPARTMENT OF LABOR
W. Willard Wirtz, Secretary
BUREAU OF LABOR STATISTICS
Ewan

Clague,

Commissioner

For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C., 2 0 4 0 2 - Price 4 5 cents







Preface

The terms listed in this glossary are those likely to be
encountered most frequently in reading about contemporary
labor-management relations, wage practices, and Government
labor policy in the United States, and by workers and super­
visors in their employments. Definitions are brief, designed
primarily to identify terms according to common usage rather
than to provide a technical discussion of meanings and appli­
cations. Some terms which may appear obvious to readers in
the United States have been added for the benefit of possible
users in other countries.
This glossary is not intended as a manual of correct usage.
On occasion, a distinction between a popular and a technical
definition is pointed out. Some terms, moreover, have a
specific legal meaning, either through legislative enactment
or judicial interpretation, which may differ in important re­
spects from ordinary usage. Thus, this glossary should not be
considered as reflecting the official views, opinions, or defi­
nitions of any agency of the U. S. Government.
This glossary is based in part on two earlier ones prepared
in the Bureau of Labor Statistics, both long out of print— the
Glossary of Current Industrial Relations Terms, comprising
Chapter 4:01 of the Guide to Labor-Management Relations in
the United States (BLS Bulletin 1225, 1958), and the Glossary
of Currently Used Wage Terms (BLS Bulletin 983, 1950).
A shorter version of this glossary was circulated for com­
ment among research technicians in business, unions, and
Government. Although the Bureau of Labor Statistics be­
lieves that a broad consensus is not beyond achievement, it
alone bears the responsibility for this publication, which was
prepared by Joseph W. Bloch, chief of the Division of In­
dustrial and Labor Relations, under the general direction of
L. R. Linsenmayer, assistant commissioner for Wages and In­
dustrial Relations.




iii




Glossary of Current

INDUSTRIAL RELATIONS AND WAGE TERMS
ABSENTEEISM
Term is most commonly applied to unjustified failure of
workers to report to work when scheduled. In determining
rate of absenteeism, however, it may apply to all absences,
whether for justified (e. g . , sickness) or unjustified reasons.

ACCIDENT AND SICKNESS BENEFITS (SICK BENEFITS)
Regular payments to workers who lose time from work due
to off-the-job disabilities through accident or sickness, e.g.,
$50 a week for up to 26 weeks of disability. Usually in­
sured and part of a private group health and insurance plan
financed in whole or in part by the employer. (See Health
and Insurance Plan; Temporary Disability Insurance; Work­
men's Compensation; Sick Leave.)

ACCIDENTAL DEATH AND DISMEMBERMENT BENEFITS
An extra lump-sum payment made under many group life
insurance plans for loss of life, limb, or sight as a direct
result of an accident. Coverage is usually for both occu­
pational and nonoccupational accidents, but may be limited
to the latter. (See Life Insurance Plan; Workmen's Com­
pensation. )

ACROSS-THE-BOARD INCREASE
A general wage increase simultaneously affecting all or
most employees in a plant, company, or industry, by way
of a uniform cents-per-hour or percentage increase.




1

2

ACTIVE EMPLOYEES
Employees at work, as distinguished from retired or laid-off
employees.
ADVANCE NOTICE
In general, an announcement of an intention to carry out
a certain action, given to an affected or interested party
in sufficient time to prepare for it, as in informing a union
of planned changes in production methods or plant shut­
down, notifying a worker that he will be laid-off on a
certain date, and notifying management of the union’ s in­
tention to terminate or modify a collective bargaining
agreement on its expiration date. (See Pay-in-Lieu-ofNotice.)
ADVISORY ARBITRATION: ARBITRATION
AFL-CIO (AMERICAN FEDERATION OF LABOR AND
CONGRESS OF INDUSTRIAL ORGANIZATIONS)
Federation of approximately 130 autonomous national and
international unions created by the merger of the American
Federation of Labor (AFL) and the Congress of Industrial
Organizations (CIO) in December 1955. More than 80 per­
cent of union members in the United States come within
the orbit of the AFL-CIO through their membership in affil­
iated unions. The initials AFL-CIO after the name of a
union indicates that the union is an affiliate. (See Inde­
pendent Union; Departments, AFL-CIO.)
AGENCY SHOP
Provision in a collective bargaining agreement which re­
quires that all employees in the bargaining unit who do not
join the union pay a fixed amount monthly, usually the
equivalent of union dues, as a condition of employment
to help defray the union’ s expenses in acting as bargaining
agent. Under some arrangements, the payments are allocated
to the union’ s welfare fund or to a recognized charity. May
operate in conjunction with a modified union shop. (See
Union Shop.)




3
AGREEMENT (COLLECTIVE BARGAINING
AGREEMENT; UNION CONTRACT)
Written contract between an employer (or an association of
employers) and a union (or unions), usually for a definite
term, defining conditions of employment (wages, hours,
vacations, holidays, overtime payments, working condi­
tions, e tc .), rights of workers and union, and procedures
to be followed in settling disputes or handling issues that
arise during the life of the contract.

ALLOWED TIME
Term is used to express the total time allowed for com­
pletion of a task or an element thereof, including time
for personal needs, rest, and unavoidable delays.

AMERICAN ARBITRATION ASSOCIATION
Private nonprofit organization established to aid professional
arbitrators in their work through legal and technical serv­
ices, and to promote arbitration as a method of settling
commercial and labor disputes. Provides lists of qualified
arbitrators to unions and employers on request.

AMERICAN FEDERATION OF LABOR (AFL)
National federation of autonomous trade unions formally
organized in 1886, although tracing its origin to 1881.
Merged with Congress of Industrial Organizations in De­
cember 1955, and ceased to exist at that time as a sepa­
rate organization. (Thus, term has no current application.)

AMERICAN FEDERATION OF LABOR AND CONGRESS
OF INDUSTRIAL ORGANIZATIONS: AFL-CIO

ANNUAL EARNINGS: EARNINGS




4
ANNUAL IMPROVEMENT FACTOR
As introduced in the 1948 agreement between General Mo­
tors Corp. and the United Automobile Workers, and since
retained, this was the term for wage increases granted
automatically each contract year, in addition to cost-ofliving adjustments. The provision was prefaced with the
• following words which set it apart from ordinary deferred
wage increases: "The annual improvement factor provided
herein recognizes that a continuing improvement in the
standard of living of employees depends upon technological
progress, better tools, methods, processes and equipment,
and a cooperative attitude on the part of all parties in such
progress. It further recognizes the principle that to produce
more with the same amount of human effort is a sound
economic and social objective."
(See Deferred Wage
Increase.)

ANNUAL WAGE OR EMPLOYMENT GUARANTEE:
GUARANTEED ANNUAL WAGE PLAN

ANNUITY: PENSION PLAN

ANTI-INJUNCTION LAW, 1932
(NORRIS-LaGUARDIA ACT)
Federal act regulating the issuance of injunctions by Federal
courts in Labor disputes. The act also made yellow-dog
contracts unenforcible. The Labor Management Relations
Act, 1947 restored some injunctive powers to the courts.
(See Yellow-Dog Contract.)

ANTI-RACKETEERING LAW, 1934
(HOBBS ACT)
Federal law making it a felony to obstruct, delay, or affect
interstate commerce by robbery or extortion.




5

ANTI-STRIKEBREAKER LAW, 1936 (BYRNES ACT)
Federal law prohibiting the interstate transportation of
strikebreakers,
APPRENTICE
A person, usually a young man, who enters into agreement
to learn a skilled trade and to achieve a journeyman status
through supervised training and experience, usually for a
specified period of time. Practical training is supplemented
by related technical off-the-job instruction.
APPRENTICE RATES
Schedule of rates applicable to workers being given formal
apprenticeship training. Usually set so as to permit a grad­
ual rise to the journeyman rate.

ARBITRATION (VOLUNTARY,
COMPULSORY, ADVISORY)
Method of settling labor-management disputes through re­
course to an impartial third party, whose decision is usually
final and binding. Arbitration is voluntary when both parties
agree to submit disputed issues to arbitration, and compul­
sory if required by law. (A court order to carry through
a voluntary arbitration agreement is not generally consid­
ered as compulsory arbitration.) Advisory arbitration: As
provided in Federal Government agreements, arbitration
without a final and binding award.

ARBITRATOR
An impartial third party to whom disputing parties submit
their differences for decision (award). An ad hoc arbitrator
is one selected to act in a specific case or a limited group
of cases. A permanent arbitrator is one selected to serve
for the life of the contract or a stipulated term, hearing
all disputes that arise during this period. (See Impartial
Chairman.)




6
AREA REDEVELOPMENT ACT, 1961
Federal act to stimulate the economic growth of distressed
areas through loans for private and public projects, through
technical assistance, and through occupational training and
retraining (with subsistence allowances for trainees).

ASSESSMENT
Special charge levied by a union on its members to meet
financial needs not covered by regular dues.

ASSOCIATION AGREEMENT
An agreement negotiated and signed by an employers1 asso­
ciation, on behalf of its members, with a union or unions.
(See Multiemployer Bargaining.)

ATOMIC ENERGY LABOR-MANAGEMENT
RELATIONS PANEL
Board of impartial experts established in 1953 to assist the
operating contractors of the Atomic Energy Commission and
their unions in arriving at peaceful settlements of disputes
over agreement terms.
Parties are free to reject panel
jurisdiction.

ATTENDANCE BONUS
Payment or another type of reward (e. g ., a day off) for
employees whose record of daily reporting for work, with­
out absences, meets certain standards of excellence.

ATTRITION ARRANGEMENT
A process of relying upon voluntary quits, deaths, and re­
tirements to reduce a company*s labor force overtime in­
stead of resorting to dismissal of workers.




7
AUTHORIZATION CARD
A statement signed by the worker authorizing a union to
act as his representative in dealings with management, or
authorizing the company to deduct union dues from his pay
(checkoff).
(See Card Check. )

AUTOMATIC PROGRESSION
Policy by which rates of pay of workers in jobs with es­
tablished rate ranges are increased automatically at fixed
time intervals. Also used to refer to automatic movement
from trainee rate to job classification rate or to the min­
imum of a rate range.

AUTOMATIC RETIREMENT:
COMPULSORY RETIREMENT

AUTOMATION
As used by engineers, applied to several types of technical
developments, including (a) a continuous-flow production
process which integrates various mechanisms to produce a
finished item with relatively few or no worker operations,
usually through electronic control; (b) self-regulating ma­
chines that can perform highly precise operations in se­
quence; and (c) electronic computing machines. In com­
mon usage, however, the term is often used in reference
to any type of advanced mechanization or as a synonym
for technological change.

AVERAGE HOURLY EARNINGS: EARNINGS
BACK PAY
Payment of part or all of the wages for a particular prior
period of time, arising from arbitration, court, or board
awards, grievance settlements, errors in computation of
pay, misinterpretation of wage legislation, etc.




8
RACK-TO-WORK MOVEMENT
Return of some or all striking workers to their jobs before
the strike is ended.

BARGAINING AGENT
Union designated by an appropriate government agency,
such as the National Labor Relations Board, or recognized
voluntarily by the employer, as the exclusive representative
of all employees in the bargaining unit for purposes of
collective bargaining.

BARGAINING RIGHTS
Legally recognized right of unions to represent workers in
dealings with employers.

BARGAINING UNIT
Group of employees in a craft, department, plant, firm, or
industry recognized by the employer or group of employers,
or designated by an authorized agency such as the National
Labor Relations Board, as appropriate for representation by
a union for purposes of collective bargaining.

BASE RATE
Amount of pay for work performed during a unit of time,
e. g . , hour, day, week, month, or year, exclusive of over­
time or incentive earnings. Under incentive systems, term
may refer to amount paid for an established task or job
standard, usually at a work level equivalent to a nonin­
centive pace.

BEGINNER RATE: LEARNER RATE
BENCHMARKS: PEG POINTS




9
BEREAVEMENT PAY: FUNERAL LEAVE PAY

BLUE-COLLAR WORKERS
Term for manual workers, usually those employed in pro­
duction, maintenance, and related occupations, and paid
by the hour or on an incentive basis, (See White-Collar
Workers.)

BLUE CROSS
Independent nonprofit membership corporation providing
protection against the costs of hospital care through an
insurance plan. (See Hospitalization Benefits.)

BLUE SHIELD
Independent nonprofit membership corporation providing
payments for the costs of surgery and related medical care
through an insurance plan. (See Surgical Benefits.)

BOARD OF INOUIRY
A board appointed by the President of the United States,
under the Labor Management Relations Act, to examine
and report on the facts and positions of the parties in a
Mnational emergency” dispute. The term is often used for
any board set up by a public agency to investigate a labor
dispute. (See Factfinding Board.)

BOGUS
Term used in the printing industry to designate typesetting
work which is not needed for printing but which is required
by the collective bargaining agreement. Other terms for
unused work are "reproduction” , "reset”, and "dead horse”.




10
BONUS PLAN
A wage system that includes payment in addition to regu­
lar or base wage for production in excess of the standard
for the job, department, or plant. Sometimes used to in­
dicate a piecework or wage incentive system. The term
'’bonus11 may also refer to any payment in addition to the
regular wage (e. g ., Christmas bonus).

BOOK MEMBER: UNION MEMBER

BOYCOTT
Efforts by a union, usually in collaboration with other
unions, to discourage the purchase, handling, or use of
products of an employer with whom the union is in dis­
pute. When such action is extended to another company
doing business with the employer involved in the dispute,
it is termed a secondary boycott. (See Hot-Cargo Clause. )

BREAK TIME: REST PERIOD

BRIDGE BENEFITS: SURVIVORS' BENEFITS

BUG: UNION LABEL

BUILDING AND CONSTRUCTION TRADES
DEPARTMENT: DEPARTMENTS, AFL-CIO

BUMPING (ROLLING)
Practice that allows a senior employee (in seniority ranking
or length of service) to displace a junior employee in
another job or department during a layoff or reduction in
force. (See Seniority.)




11
BUREAU O f LABOR STATISTICS (BLS):
U .S. DEPARTMENT OF LABOR
BUREAU OF NATIONAL AFFAIRS, INC. (BNA)
A commercial nongovernmental organization engaged in
providing various types of reports and services dealing with
industrial relations and labor affairs.

BUSINESS AGENT (UNION REPRESENTATIVE)
Generally a full-time paid employee or official of a local
union whose duties include day-to-day dealing with em­
ployers and workers, adjustment of grievances, enforcement
of agreements, and similar activities. (See International
Representative.)

BUSINESS UNIONISM
("BREAD-AND-BUTTER" UNIONISM)
Union policy that places primary emphasis on securing
higher wages and better working conditions for its members
through collective bargaining rather than through political
action or radical reform of society. The term has been
widely used to characterize the objectives of the trade union
movement in the United States.
BYLAWS
Generally, provisions supplementing charters or constitutions
of unions or other organizations, setting forth the rules for
the organization.
BYRNES ACT: ANTI-STRIKEBREAKER LAW, 1936
CALL-IN PAY (CALLBACK PAY)
Amount of pay guaranteed to a worker recalled to work
after completing his regular work shift. Call-in pay is
often used as a synonym for reporting pay. (See Report­
ing Pay.)




12
CARD CHECK
Procedure whereby signed union authorization cards are
checked against a list of workers in a prospective bar­
gaining unit to determine if the union has majority status*
The employer may recognize the union on the basis of this
check without the necessity of a formal election* Often
conducted by an outside party, e. g ., a respected member
of the community. (See Authorization Card.)

CASUAL WORKERS
Workers who have no steady employer, but who shift from
employer to employer. Also used in longshoring to refer to
workers not regularly attached to a particular work group.
Sometimes applied to temporary employees.

CATASTROPHE INSURANCE: MAJOR MEDICAL
EXPENSE BENEFIT

CENTRAL LABOR COUNCIL (CITY CENTRAL BODY)
An AFL—CIO organization formed by association of local
unions in a community or other geographical area, to fur­
ther union interests and activities.

CERTIFICATION
Formal designation by a government agency, such as the
National Labor Relations Board, of the union selected by
the majority of the employees in a supervised election to
act as exclusive bargaining agent for all employees in the
bargaining unit.

CHANGEOVER TIME
Working time lost while a company changes from one
model to another, as in the automobile industry.




13
CHAPTER: LOCAL UNION

CHARTER
Written authorization to establish a subordinate or affiliated
body of a union.

CHECKOFF
Practice whereby the employer, by agreement with the
union (and upon written authorization from each employee
where required by law or agreement), regularly withholds
union dues from employees* wages and transmits these funds
to the union. Checkoff is a common practice in organ­
ized establishments and is not dependent upon the existence
of a formal union security clause. The arrangement may
also provide for deductions of initiation fees and assess­
ments. (See Union Security.)

CIVIL RIGHTS ACT OF 1964
Under title VII of this Federal act, employers, unions,
and employment agencies are required to treat all persons
equally, regardless of race, color, religion, sex, or na­
tional origin, in all phases of employment, including hiring,
promotion, compensation, firing, apprenticeship, job as­
signments, and training. An Equal Employment Opportunity
Commission was created to assist in carrying out this sec­
tion of the act.

CLASSIFICATION ACT EMPLOYEES
Federal Government employees, typically professional, ad­
ministrative, technical, and clerical employees, whose
salary rates and certain other conditions of employment
are determined by the Congress. (See Wage Board Em­
ployees. )




14
CLEANUP TIME (WASHUP TIME)
Paid time allowed to workers to clean their workplaces or
tools or to wash up before leaving the plant at the close of
the workday or for lunch. (See Clothes Changing T im e.)

CLOSED SHOP
Form of union security provided in an agreement which
binds the employer to hire and retain only union members
in good standing. The key distinction between a closed
shop and a union shop lies in the hiring restriction, a re­
striction prohibited by the Labor Management Relations
Act, 1947. Legal closed shops may be found outside the
scope of this act (which applies to employers and em­
ployees in industries affecting interstate commerce) and
outside of States with "right-to-work" laws.

CLOSED UNION
A union which bars new members or makes membership
acquisition difficult (e. g . , by very high initiation fees) in
order to protect job opportunities for its present members,
or for other reasons.
Some unions accept only sons of
present members. (See Open Union.)

CLOTHES CHANGING TIME
Time allotted within the paid workday for changing from
street wear to working clothes or from working clothes to
street wear, or both. (See Cleanup T im e .)

CLOTHING ALLOWANCE
Monetary allowance for clothing and/or its upkeep, granted
by an employer to employees who are required to wear
special clothing, such as uniforms or safety garments, in
the performance of their work.




15
CODES OF ETHICAL PRACTICES
Rules adopted by the AFL-CIO in 1956~57, setting standards
of behavior for unions and their officers.
COFFEE BREAK: REST PERIOD

COLLECTIVE BARGAINING
Method whereby representatives of the employees (the
union) and employer determine the conditions of employ­
ment through direct negotiation, normally resulting in a
written contract setting forth the wages, hours, and other
conditions to be observed for a stipulated period ( e .g .,
2 years). The term is also applied to union-management
dealings during the term of the agreement. (See agree­
ment. )
COMMISSION EARNINGS
Compensation to salespeople based on a predetermined per­
centage of the value of sales.
May be an addition to a
guaranteed salary rate or may constitute total pay.

COMMON LABOR
General term used to designate unskilled workers, usually
men performing heavy labor. In specific plants, may refer
to unskilled workers not assigned to a particular job. The
latter use is probably now the more frequent one.

COMPANY UNION
Term used to designate a labor organization that is organ­
ized, financed, or dominated by the employer and is thus
suspected of being an agent of the company rather than
the workers. This practice is prohibited under the Labor
Management Relations Act, 1947. The term also survives
as a derogatory charge leveled against a union suspected
of being ineffectual. (See Single-Company Union.)




16
COMPANYWIDE BARGAINING:
MULTIPLANT BARGAINING
COMPENSABLE INJURY
A work injury for which compensation indemnity benefits
are payable to the injured worker or his beneficiary under
workmen* s compensation laws.

COMPENSATION: EARNINGS
COMPULSORY ARBITRATION: ARBITRATION

COMPULSORY RETIREMENT
(AUTOMATIC RETIREMENT)
Involuntary separation from employment in a company
upon reaching a specified age (e. g . , 65 or 68), In precise
pension terms, a distinction is usually made between com­
pulsory and automatic retirement. The age of compulsory
retirement is that point at which worker loses the right to
decide whether he should retire or continue on his job. The
age of automatic retirement is the age beyond which no
employee may continue to work under the terms of the
pension plan. In other words, an employee may work be­
yond the compulsory retirement age if the employer con­
sents, but automatic retirement rules out the option on
both sides.

CONCILIATION: MEDIATION

CONGRESS OF INDUSTRIAL ORGANIZATIONS (CIO)
Federation of national and international unions formally
established in 1938 by industrial unions, many of which
had been affiliated with the American Federation of Labor.
Merged with the AFL in December 1955, to form the AFL—
CIO, and is thus extinct as a separate organization. (See
AFL-CIO.)




17
CONSULTATION
An obligation on the part of management to consult the
union on particular issues (e. g . , contracting-out) in ad­
vance of taking action is frequently provided by agree­
ments. What consultation actually means in each situation
is what the parties want it to mean. In general, the process
of consultation lies between notification to the union, which
may amount simply to providing information, and nego­
tiation^ which implies agreement on the part of the union
before the action can be taken.
CONSUMER PRICE INDEX (CPI)
A Government index, issued monthly by the Bureau of Labor
Statistics, which measures the average change in prices of
goods and services purchased by urban wage-earner and
clerical-worker families.
The "new series" beginning in
January 1964 covers all urban wage-earner and clericalworker consumers, including single workers living alone,
as well as families of 2 or more persons. The CPI measures
price change only, describing shifts in the purchasing power
of the consumer^ dollar.
It is often incorrectly referred
to as a "cost-of-living index. " (See Cost-of-Living Ad­
justment; Escalator Clause.)

CONTINUOUS BARGAINING COMMITTEES
(INTERIM COMMITTEES)
Committees established by management and union in a
collective bargaining relationship to keep the agreement
under constant review, and to discuss possible contract
changes, long in advance of the contract expiration date.
May provide for third-party participation. (See Human
Relations Committees; Crisis Bargaining.)
CONTINUOUS OPERATIONS
(ROUND-THE-CLOCK OPERATIONS)
Necessary plant operations (powerhouse, maintenance, pro­
tection, e tc .) that must continue to function on a 24-hour,
7-day basis. (See Continuous Process.)




18
CONTINUOUS PROCESS
A process which, once begun, must continue without inter­
ruption for a long period, making the use of multiple shifts
necessary. Often applied to a service (e. g., electric utility)
needed continuously.

CONTRACT: AGREEMENT

CONTRACT BAR
A denial of the request for a representation election, based
on the existence of an agreement. Such an election will
not be conducted by the National Labor Relations Board if
there is in effect a written agreement which is binding upon
the parties, has not been in effect for more than a "reason­
able" time, and its terms are consistent with the National
Labor Relations Act.

CONTRACTING-OUT (SUBCONTRACTING;
FARMING OUT)
Practice of having certain steps in a manufacturing process,
plant maintenance, or other work functions performed by
outside contractors, using their own work forces.

CONVENTION: UNION CONVENTION

COOLING-OFF PERIOD
A period of time which must elapse before a strike or lock­
out can begin or be resumed, by agreement or by law. The
term derives from the hope that the tensions of unsuccessful
negotiation will subside in time and that a work stoppage
will be averted. (See National Emergency Dispute.)

CORRIDOR: DEDUCTIBLE




19
COST-OF-LIVING ADJUSTMENT
Raising or lowering wages or salaries in accordance with
changes in the cost of living as measured by a designated
index; in collective bargaining agreements, usually the
Bureau of Labor Statistics Consumer Price Index.
(See
Escalator Clause.)

COST-OF-LIVING ALLOWANCE (FLOAT)
Regular cents-per-hour or percentage payments made to
workers through the operation of escalator clauses or other
types of cost-of-living adjustments. Float— cost -of-living
allowance not incorporated into base rates.

COST-OF-LIVING INDEX
This term is often used, incorrectly, to designate the Bureau
of Labor Statistics Consumer Price Index. (See Consumer
Price Index.)

COUNCIL OF ECONOMIC ADVISERS
This small Federal Government agency, established under
the terms of the Employment Act of 1946, advises the
President on economic developments, appraises Government
economic policies, recommends to the President policies
for economic growth and stability, and assists in the prep­
aration of the Presidents annual economic report to the
Congress. (See Guideposts.)

CRAFT
Usually, a skilled occupation requiring a thorough know­
ledge of processes involved in the work, the exercise of
considerable independent judgment, usually a high degree
of manual dexterity, and, in some instances, extensive
responsibility for valuable product or equipment.




20
CRAFT UNION
Term applied to a labor organization which limits member­
ship to workers having a particular craft or skill or working
at closely related trades. In practice, many so-called
craft unions also enroll members outside the craft field;
some come to resemble industrial unions in all major re­
spects. The traditional distinction between craft and in­
dustrial unions has been substantially blurred. The Inter­
national Typographical Union is an example of a craft
union. (See Industrial Union. )

CRAFT UNIT
A bargaining unit composed solely of workers having a
recognized skill; for example, electricians, machinists,
or plumbers.

CREDITED SERVICE
Years of employment counted for retirement, severance
pay, seniority, etc. The definition of a credited year of
service varies among companies and plans.

CRISIS BARGAINING
Term used to characterize collective bargaining taking
place under the shadow of an imminent strike deadline,
as distinguished from extended negotiations in which both
parties enjoy ample time to present and discuss their posi­
tions. (See Continuous Bargaining Committees; Strike
Deadline.)

DAVIS-BACON ACT:
PREVAILING WAGE LAW




21
DAYWORK
Usually refers to work for which pay is computed on an
hourly rate or on a per day basis, in contrast to piece or
incentive work.

DEADHEADING PAY
Special payment to a transportation worker who is required
to report for work at a point far removed from his home
terminal or to return without passengers or freight after
completing a run.
DEAD TIME: DOWNTIME

DEADWORK
Term used in mining referring to nonproductive work, such
as the removal of debris or waste matter.

DEATH BENEFIT
Payment, usually a lump sum, provided to a worker*s ben­
eficiary, in the event of his death. May be provided by
a pension plan or another type of employer-sponsored wel­
fare plan, or by a union to its members. When insured,
the more common term is life insurance. (See Life In­
surance Plan.)
DECASUAUZATION
Process of eliminating or barring casual workers in order to
regularize employment. (See Casual Workers.)

DECERTIFICATION
Withdrawal by a government agency, such as the National
Labor Relations Board, of a union1s official recognition as
exclusive bargaining representative.




22
DEDUCTIBLE (CORRIDOR)
In major medical insurance plans, term is applied to that
portion of covered hospital and medical charges which the
insured worker must pay before the plan*s benefits begin.
If the worker also has basic health insurance protection,
the worker*s liability is often referred to as the corridor
because it lies between two insured areas. (See Major
Medical Expense Benefit.)

DEFERRED WAGE INCREASE
General term for negotiated wage changes which are not
to become effective until some specified date in the fu­
ture, e. g., a year later. (See Annual Improvement Factor. )

DELAY TIME: DOWNTIME

DEMOTION: DOWNGRADING

DEPARTMENTS, AFL-CIO
Associations of national and international unions within the
Federation, working together to further mutual interests in
their general fields of operation. The seven trade and in­
dustrial departments include the Building and Construction
Trades, Food and Beverage Trades, Industrial Union, Mari­
time Trades, Metal Trades, Railway Employes, and Union
Label and Service Trades.

DEPOSIT ADMINISTRATION: PENSION PLAN
DIFFERENTIAL PIECE RATES
Plan under which piece rates vary at different levels of
output.




23
DIRECT LABOR
Term usually applied to workers engaged in productive
occupations, e. g . , an essential step in a manufacturing
process. Indirect labor usually includes employees whose
jobs cannot be associated directly with a specific product
or process. The precise meaning of these terms varies
from company to company.

DIRECTLY AFFILIATED UNIONS:
FEDERAL LABOR UNIONS

DISABILITY
Any injury or illness, temporary or permanent, which pre­
vents a worker from carrying on his usual occupation. (See
Permanent and Total Disability.)

DISABILITY RETIREMENT
Retirement because of physical inability to perform the
job. (See Permanent and Total Disability.)

DISAFFILIATION
Withdrawal of a local union from membership in a national
or international union, or of a national or international
union from a federation.

DISCHARGE
Dismissal of a worker from his employment. Term im­
plies discipline for unsatisfactory performance and is thus
usually limited to dismissals for cause relating to the indi­
vidual, e. g . , insubordination, absenteeism, inefficiency.




24
DISCRIMINATION
Term applied to prejudice against or unequal treatment of
workers in hiring, employment, pay, or conditions of work,
because of race, national origin, creed, color, sex, age,
union membership or activity, or any other characteristic
not related to ability or job performance.
DISMISSAL PAY OR ALLOWANCE: SEVERANCE PAY
DISPOSABLE INCOME: SPENDABLE EARNINGS

DISPUTE (LABOR DISPUTE)
Any disagreement between union and management which
requires resolution in one way or another; e. g . , inability
to agree on contract terms, an unsettled grievance, etc.
DIVISION OF WORK: WORK SHARING

DOUBLE TIME
Penalty or premium rate (e. g ., for overtime work, for work
on Sundays and holidays) amounting to twice the employee's
regular rate of pay for each hour worked.

DOWNGRADING (DEMOTION)
Reassignment of workers to tasks or jobs requiring lower
skills and with lower rates of pay.

DOWNTIME (DEAD TIME;
DELAY TIME; WAITING TIME)
Brief period during which workers are unable to perform
their tasks while waiting for materials, repair, setup, or
adjustment of machinery. Under incentive wage systems,
term may refer to payment made to employees for such
lost time.




25
DRAWING ACCOUNT
Usually, an allowance given to salespeople working on a
straight commission as an advance against commission
payments.

DUAL PAY SYSTEM
As used in transportation industries, a system under which
road employees are paid on a combined mileage and hours
basis.

DUAL UNIONISM
A charge (usually a punishable offense) leveled at a union
member or officer who seeks or accepts membership or
position in a rival union, or otherwise attempts to under­
mine a union by helping its rival.

DUES: UNION DUES

EARLY RETIREMENT: RETIREMENT

EARNINGS (HOURLY, DAILY, WEEKLY, ANNUAL,
AVERAGE, GROSS, STRAIGHT-TIME; COMPENSATION)
In general, the remuneration (pay, wages) of a worker or
group of workers for services performed during a specific
period of time.
The term invariably carries a defining
word or a combination, e. g . , straight-time average hourly
earnings. Since a statistical concept is usually involved in
the term and its variations, the producers and users of earn­
ings figures have an obligation to define them.
In the
absence of such definition, the following may serve as
rough guides: Hourly, daily, weekly, annual— Period of
time to which earnings figures, as stated or computed, re­
late.
The context in which annual earnings (sometimes




26
weekly earnings) are used may indicate whether the refer­
ence includes earnings from one employer only or from
all employment plus other sources of income; average—
usually the arithmetic mean; that is, total earnings (as
defined) of a group of workers (as identified) divided by
number of workers in the group; gross—usually total earn­
ings, including, where applicable, overtime payments, shift
differentials, production bonuses, cost-of-living allowances,
commissions, etc.; straight-time—^usually gross earnings ex­
cluding overtime payments and (with variations at this
point) shift differentials and other monetary payments. The
Bureau of Labor Statistics, in its wage surveys, defines
straight-time earnings so as to exclude premium pay (for
overtime and for work on weekends and holidays) and shift
differentials. Compensation— a concept sometimes used to
encompass the entire range of wages and benefits, both
current and deferred, which workers receive out of their
employment.

ECONOMIC OPPORTUNITY ACT
OF 1964
An act "to mobilize the human and financial resources of
the Nation to combat poverty in the United States. ” An
important part of this act, the work-training program (ad­
ministered by the U. S. Department of Labor), is directed
to encouraging young unemployed persons (age 16—21, in­
clusive) to stay in school or obtain job experience that
would prepare them for meaningful work careers.

ECONOMIC STRIKES
Union-authorized strikes to bring about changes in wages,
hours, or working conditions, usually associated with con­
tract negotiations.

ELECTION: REPRESENTATION ELECTION




27
EMERGENCY BOARDS
Under the Railway Labor Act, the President, upon notifi­
cation by the National Mediation Board that a contract
negotiation dispute threatens seriously to interrupt interstate
commerce, may appoint an emergency board to investigate
and report within 30 days. During this period, and for
30 days after the board reports, no change may be made
in the conditions underlying the dispute, except by agree­
ment of the parties. This is the last formal step in the
act's procedures regarding contract disputes.

EMPLOYEE
General term for an employed wage earner or salaried
worker. Used interchangeably with "worker” in the con­
text of a work situation, but a "worker" is not an "e m ­
ployee" when he is no longer on the payroll.

EMPLOYEE BENEFIT PLAN: WELFARE PLAN

EMPLOYER
General term for any individual, corporation, or other
operating group, which hires workers (employees).
The
terms "employer" and "management" are often used inter­
changeably when there is no intent to draw a distinction
between owners and managers.

EMPLOYERS' ASSOCIATION
Voluntary membership organization of employers established
to deal with problems common to the group. It may be
formed specifically to handle industrial relations and to
negotaite with a union or unions. (See Association Agree­
ment. )




28
EMPLOYMENT ACT OF 1946 (FULL EMPLOYMENT ACT)
This act set forth a broad policy for the Federal Govern­
ment " . . . to coordinate and utilize all its plans, functions,
and resources for the purpose of creating and maintaining,
in a manner calculated to foster and promote free com­
petitive enterprise and the general welfare, conditions under
which there will be afforded useful employment opportu­
nities, . . . and to promote maximum employment, pro­
duction, and purchasing power. M (See Council of Economic
Advisers.)
ENTRANCE RATE
Hourly rate at which new employees are hired, at times
referred to as a probationary or hiring rate. It may apply to
the establishment as a whole or to a particular occupation.
EQUAL PAY ACT OF 1963
An amendment to the Fair Labor Standards Act prohibiting
wage discrimination solely because of sex. (See Fair Labor
Standards A c t.)
EQUAL PAY FOR EQUAL WORK
A policy denoting, or a demand for, payment of equal
compensation to all employees in an establishment per­
forming the same kind or amount of work, regardless of
race, sex, or other characteristics of the individual workers
not related to ability or performance.

ESCALATOR CLAUSE (WAGE ESCALATION)
Provision in an agreement stipulating that wages are to be
automatically increased or reduced periodically according
to a schedule related to changes in the cost of living, as
measured by a (designated index, or, occasionally, to an­
other standard e. g . , an average earnings figure). Term
may also apply to any tie between an employee benefit
and the cost of living, as in a pension plan.
(See Con­
sumer Price Index.)




29
ESCAPE CLAUSE
General term signifying release from an obligation. One
example is found in maintenance-of-membership arrange­
ments which give union members an "escape period" during
which they may resign from membership in the union with­
out forfeiting their jobs.

EXCLUSIVE BARGAINING RIGHTS
The right and obligation of a union designated as majority
representative to bargain collectively for all employees,
including nonmembers, in the bargaining unit.

EXECUTIVE BOARD
Constitutional union administrative body c o m p o s e d of
elected officials and other elected or appointed members,
generally responsible for overseeing union operations and
carrying out union policies.

EXECUTIVE ORDER 10988
Titled "Employee-Management Cooperation in the Federal
Service," this Federal order, issued by the President in 1962,
guarantees the right of employees of the executive branch
of the Government to join unions. The order also defines
the scope of participation by unions in the determination
of personnel policies and working conditions not established
by statute.

EXPERIENCE RATING
Process of basing tax rates or insurance premiums on the
employees own record— as in workmens compensation, un­
employment insurance, and commercially insured health
and insurance programs— so that he may benefit from a
good record.




30
EXPIRATION DATE
Formal termination date established in a collective bar­
gaining agreement, or the earliest date at which the con­
tract may be terminated.

EXTENDED LEAVE PLAN
In general, a plan allowing a worker to take extended,
unpaid leave without loss of job or seniority, such leave
being usually granted for a limited number of specific
reasons.

EXTENDED VACATION PLAN
A plan providing extra-long paid vacations (e. g ., 10—13
weeks) to qualified (long-service) workers at regular inter­
vals (e. g . , every 5 years), supplementing an annual paid
vacation plan.

FACTFINDING BOARD
A group of individuals appointed under government au­
thority to investigate, assemble, and report the facts in a
labor dispute, sometimes with authority to make recom­
mendations for settlement. (See Board of Inquiry.)

FAIR EMPLOYMENT PRACTICE LAWS
These laws forbid discrimination in hiring, promotion, dis­
charge, or conditions of employment on the basis of race,
creed, color, national origin, and in some cases, sex and
age. Such laws exist at Federal, State, and local levels.
(See Civil Rights Act of 1964.)




31
FAIR LABOR STANDARDS ACT OF 1938
(FLSA; WAGE-HOUR LAW)
Federal law which prohibited oppressive child labor and
established a minimum hourly wage and premium over­
time pay for hours in excess of a specific level (now time
and one-half after 40 hours per week) for all workers en­
gaged in, or producing goods for, interstate commerce*
The minimum wage and the coverage of the act have been
modified several times since enactment.

FARMING-OUT:
CONTRACTING-OUT

"FAVORED NATIONS" CLAUSE
An agreement provision indicating that one party to the
agreement (employer or union) shall have the opportunity
to share in more favorable terms negotiated by the other
party with another employer or union.

FEATHERBEDDING
(MAKE WORK)
A derogatory term applied to a practice, working rule, or
agreement provision which limits output or requires em­
ployment of excess workers and thereby creates or preserves
soft or unnecessary jobs; or to a charge or fee levied by a
union upon a company for services which are not performed
or not to be performed.

FEDERAL LABOR UNIONS
(DIRECTLY AFFILIATED UNIONS)
Local unions affiliated directly with the AFL—CIO rather
than with an affiliated national or international union.




32
FEDERAL MEDIATION AND CONCILIATION
SERVICE (FMCS)
An independent U. S. Government agency which provides
mediators to assist the parties involved in negotiations, or
in a labor dispute, in reaching a settlement; provides lists
of suitable arbitrators on request; and engages in various
types of "preventive mediation. M Mediation services are
also provided by several State agencies.

FEDERATION
Association of unions formed to promote common interests.
The major federation is theAFLKDIO (formed by the merger
of two federations.)
FINK: STRIKEBREAKER
FLAGGED RATE: RED CIRCLE RATE
FLOAT: COST-OF-LIVING ALLOWANCE
FORM AGREEMENT: STANDARD AGREEMENT

FREE RIDERS
A derogatory term applied by unions to nonmembers who,
because of being in the bargaining unit, share in benefits
resulting from union activities without paying dues.

FRINGE BENEFITS
Generally, supplements to wages received by workers at a
cost to employers. Term encompasses a host of practices
(paid vacations, pensions, health and insurance plans, e tc .)
that usually add to something more than a ’’fringe, ” and
is sometimes applied to a practice that may constitute a
dubious ’’benefit" to workers. No agreement prevails as to
the list of practices that merit inclusion in this term, with
the chief areas of disagreement arising at the juncture of




33
"wages" and "fringes" and, at the other end, of "fringes"
and company personnel practices. Differences of opinion
also arise with regard to the inclusion of legally required
benefits. Other terms often substituted for fringe benefits
include "wage extras, " "hidden payroll, " "nonwage labor
costs," and "supplementary wage practices." The Bureau
of Labor Statistics avoids the pitfalls of "fringe benefits" by
use of the phrase "selected supplementary compensation (or
remuneration) practices, " which is then defined for survey
purposes.

FULL CREW LAW OR RULE
Generally used to refer to laws or regulations of several
States which require a minimum number of workers having
specified skills for each railway train, e. g . , engineer,
firemen, conductors, brakemen, and flagmen.

FULL EMPLOYMENT ACT: EMPLOYMENT ACT OF 1946

FUND (TRUST FUND)
In general, money and investments set aside in a separate
account, usually administered by trustees, to take care of
the payment of pensions, supplemental unemployment ben­
efits, strike benefits, etc. Also used as verb, i. e . , to
set up a fund; to set aside adequate reserves.

FUNERAL LEAVE PAY (BEREAVEMENT PAY)
Pay to a worker, usually for a limited period (e. g., 3 days),
for time lost because of the death and funeral of a member
of his immediate family.

GARNISHMENT
Legal attachment of an employee^ wages to pay a debt
owed by the employee to someone other than the employer.




34
GENERAL STRIKE: STRIKE

GENERAL WAGE CHANGES
Wage adjustments which affect large numbers of workers in
a similar manner at the same time.

GOING RATE: PREVAILING RATE

GOON
Slang term for a person hired by either management or
union during a labor dispute to make trouble and intimidate
the opposition by violence or the threat of violence.

GRAVEYARD SHIFT: SHIFT

GRIEVANCE
Any complaint or expressed dissatisfaction by an employee
in connection with his job, pay, or other aspects of his
employment. Whether it is formally recognized and handled
as a "grievance" depends on the scope of the grievance
procedure.

GRIEVANCE COMMITTEE: SHOP COMMITTEE

GRIEVANCE PROCEDURE
Typically a formal plan, specified in the agreement, which
provides a channel for the adjustment of grievances through
discussions at progressively higher levels of authority in
company and union, usually culminating in arbitration if
necessary. Formal plans may also be found in nonunion
companies, with the important difference that there is no
union to represent workers.




35
GRIEVANCE STEPS
The regular steps in a grievance procedure by which a
grievance dispute moves from one level of authority in the
company and union to the next higher level. The steps
are usually specified in the agreement.

GROUP ANNUITY PLAN:
PENSION PLAN

GROUP INCENTIVE PLAN
Payment of incentive earnings based on the output of a
group of workers (team, gang, department, e tc .) rather
than the output of the individual worker.

GUARANTEED ANNUAL WAGE PLAN (ANNUAL
W AGE OR EMPLOYMENT GUARANTEE)

Plan whereby employees meeting certain qualifications are
assured wage income or employment for a full year or the
greater part of a year. Such plans are not common. (See
Supplemental Unemployment Benefit Plans.)

GUARANTEED TIME
Rate of hourly or weekly pay guaranteed to a worker under
an incentive system. May differ from base rate.

GUARANTEED TIME
Tern: is sometimes used for weekly wage or employment
guarantees (e. g . , a guarantee of 36 hours* work for em­
ployees called to work on the first day of the workweek.)




36
GUIDEPOSTS (WAGE-PRICE GUIDELINES)
Standards by which unions and business leaders, and the
general public, can appraise particular wage and price de­
cisions. First formally set forth in the President's Economic
Report of January 1962, and restated in subsequent reports.
In the January 1964, report, the general guidepost for wages
was set forth as follows: M . . .
in a particular firm or
industry, the appropriate noninflationary standard for annual
percentage increases in total employee compensation per
man-hour (not just in straight-time hourly rates) is the
annual increase in national trend output per man-hour. "
Adherence to this guidepost is not compulsory.

HANDICAPPED WORKERS
Workers whose capacities or earning abilities are impaired
by physical or mental disability.

HAZARD PAY
Extra payments to workers in dangerous occupations or while
engaged in work where the chances of injury are greater
than normal. (See High T im e.)

HEALTH AND INSURANCE PLAN (WELFARE PLAN)
A program of providing financial protection to the worker
and his family against death, illness, accidents, and other
risks, in which the costs are borne in whole or in part by
the employer. One or more of the following major ben­
efits may be provided for the worker and, frequently,
his dependents: Life insurance, accidental death and dis­
memberment benefits, accident and sickness benefits, hos­
pitalization benefits, surgical and medical benefits, and
major medical expense benefits. (See entries for each
item .) Although sometimes self-insured in whole or in part,
these programs usually consist of insurance purchased from
Blue Cross, Blue Shield, and commercial insurance com­
panies. Some plans provide for health centers or clinics.




37
HEALTH CENTER
Usually a clinic administered by a union, or by trustees
representing employers and unions, where members and
their families may receive medical examinations and treat­
ment free or at a nominal charge.

HIGH TIME
Extra pay for workers engaged in a job high above ground,
and, thus, dangerous or uncomfortable, as in construction.
Sometimes also applied to work below ground level with
extra dangers or discomforts for the worker. (See Hazard
Pay.)

HIRING HALL
An office maintained by a union, or jointly by employers
and union, for referring workers to jobs or for the actual
hiring operation. Common in maritime industry.
HIRING R ATE :

ENTRANCE RATE

HIT-THE-BRICKS
Slang foi^—to go on strike.

HOBBS ACT: ANTI-RACKETEERING LAW, 1934
HOLIDAY PREMIUM PAY
Pay to workers at premium rates (e. g ., double time) for
work on holidays. (See Paid Holidays.)

HOMEWORK
Production of industrial goods by workers in their homes
from materials supplied by the employer.




38
HORIZONTAL UNION
A union which includes only workers in a single craft or
skill, or closely related skills, such as carpenters, elec­
tricians, e tc ., usually cutting across industry lines. Use
of term is declining. (See Craft Union.)
HOSPITALIZATION BENEFITS
Plan that provides workers, and in many cases their de­
pendents, with hospital room and board (e. g . , semiprivate
room) or cash allowances toward the cost of such care
(e. g ., $15-$20 per day) for a specified number of days
(21 to 365), plus the full cost of specified services. Usually
part of a more inclusive health and insurance program.
(See Health and Insurance Plan; Blue Cross. )
HOT-CARGO CLAUSE
An agreement provision stipulating that employees covered
by the agreement cannot be required to handle or use goods
shipped from, or bound to, an employer who is involved
in a strike with a union. (See Struck Work.)
HOURLY RATE
Usually, the rate of pay, expressed in dollars and cents per
hour, for manual and other workers paid on a time basis.
Term is also used at times to designate the earned rate per
hour under incentive methods of wage payment.
HUMAN RELATIONS
Term applied to a broad area of managerial effort and re­
search dealing with the social and psychological relations
among people at work. Bringing into play the insights and
techniques of several of the social sciences, it concen­
trates upon workers and supervisors as individuals, all with
personal problems and personality differences, and all with
both psychic and material satisfactions to be fulfilled. Its
practical application at the work level includes improving
personal relationships, reducing friction, improving organ­
ization, and thereby enhancing efficiency.




39
HUMAN RELATIONS COMMITTEES
Continuing committees of union and management set up
by agreement to study problems, and to make joint recom­
mendations to negotiators for contract improvements. Term
originated in the steel industry. (See Continuous Bargaining
Committees.)

IMPARTIAL CHAIRMAN (UMPIRE)
An arbitrator employed jointly by a union and employer,
usually on a long-term basis, to serve as the impartial
party on a tripartite arbitration board and to decide all
disputes or specific kinds of disputes arising during the life
of the contract. The functions of an impartial chairman
often expand with experience and the growing confidence
of the parties, and he alone may constitute the arbitration
board in practice.

INCENTIVE WAGE SYSTEM
General term for methods of wage payment which relate
earnings of workers to their actual production, individually
or as a group. (See Group Incentive Plan; Piecework.)

INDEPENDENT UNION
(UNAFFILIATED UNION)
Term applied to local, national, and international unions
not affiliated with the AFL-CIO (e. g . , Mine Workers,
Teamsters). Unaffiliated union is perhaps the better term,
but it is used less frequently.

INDIVIDUAL RATES
Rates paid to workers in establishments without a stand­
ardized wage-rate system.
May also be used to indicate
the rate paid to an individual worker, as distinguished from
the standard job rate.




40
INDUSTRIAL ENGINEERING TECHNIQUES
Outside of specialized literature, a general term covering
application of systematic procedures, such as time-andmotion studies, to production or work processes in order to
increase production or decrease costs, to set incentive rates
of pay, etc.
Industrial engineering is a recognized pro­
fession, with professional standards, e tc ., but union repre­
sentatives often must become involved in such procedures
without benefit of professional training.

INDUSTRIAL RELATIONS
General term covering matters of mutual concern to em­
ployers and employees; the relationships, formal and in­
formal, between employer and employees or their repre­
sentatives; government actions and law bearing upon these
relationships; an area of specialization in a company; a
field of study whose scope is suggested by this glossary.

INDUSTRIAL RELATIONS
RESEARCH ASSOCIATION
One of the professional associations in the social sciences,
attracting academicians and practitioners of similar in­
terests. Researchers and users of industrial relations re­
search findings in universities, business, unions, and govern­
ment participate in this association.

INDUSTRIAL UNION (VERTICAL UNION)
A union that represents all or most of the production,
maintenance, and related workers, both skilled and un­
skilled, in an industry or company.
May also include
office, sales, and technical employees of the same com­
panies. The United Automobile Workers and United Steel­
workers of America are examples of industrial unions. (See
Craft Union.)




41
INDUSTRIAL UNION DEPARTMENT:
DEPARTMENTS, AFL-CIO

INDUSTRYWIDE BARGAINING
Negotiations between an employers1 group and a union re­
sulting in an agreement covering an entire "industry" or
a substantial part thereof, e. g ., all class I railroads. Ordi­
narily, the term "industry" in this connection is not consis­
tent with standard statistical definitions, nor does "industry­
wide" necessarily imply nationwide coverage. It is usually
safe to assume that in whatever way "industry" is used, it
does not include every establishment.

INEQUITY
Term for a disadvantageous condition, real or alleged,
generally applied to wage rates or benefits, usually the
former, that are substantially lower than those prevailing
elsewhere in the plant, company, locality, or industry for

the same or comparable work.

INITIATION FEE
Payment to the union required of a worker when he joins,
usually as set forth in the union* s constitution. The Labor
Management Relations Act, 1947 prohibits excessive or
discriminatory fees where workers are required to join the
union to remain employed, as in a union shop.

INJUNCTION (LABOR INJUNCTION)
Court order restraining one or more persons, corporations,
or unions from performing some act which the court be­
lieves would result in irreparable injury to property or
other rights.




42
INSURANCE PLAN: HEALTH AND
INSURANCE PLAN
INTERIM COMMITTEES: CONTINUOUS
BARGAINING COMMITTEES

INTERMEDIATE BODY
Term sometimes used to classify an office or department
of a union performing certain functions between the local
union level and the national union level, e. g . , regional
or district offices.

INTERNATIONAL CONFEDERATION OF FREE
TRADE UNIONS (ICFTU)
An international organization of labor movements or fed­
erations of non-Communist nations, to which the AFL—CIO
is affiliated. Founded in 1949 after the predecessor organi­
zation, the World Federation of Trade Unions, became
Communist-dominated.

INTERNATIONAL LABOR ORGANIZATION (ILO)
A United Nations specialized agency with headquarters in
Geneva, Switzerland, which works to improve labor condi­
tions, living standards, and economic and social stability
by international action, through the participation of repre­
sentatives of workers, employers, and governments.

INTERNATIONAL REPRESENTATIVE
(NATIONAL REPRESENTATIVE)
Generally, a full-time employee of a national or inter­
national union whose duties include assisting in the for­
mation of local unions, dealing with affiliated local unions
on union business, assisting in negotiations and grievance
settlements, settling disputes within and between locals,
etc. (See Business Agent.)




43
INTERNATIONAL TRADE SECRETARIATS
Organizations comprising unions from the same industries
in different countries, meeting regularly to discuss common
problems. The International Metalworkers* Federation is
1 of 18 such organizations.
INTERNATIONAL UNION
A union claiming jurisdiction both within and outside the
United States (usually in Canada). Sometimes the term is
loosely applied to all national unions; that is, "inter­
national11and "national" are used interchangeably.

INTERSTATE COMMERCE
Legal concept describing trade, traffic, commerce, trans­
portation, or communication among the several States, upon
which Federal labor legislation often rests. The Fair Labor
Standards Act of 1938, for example, applies to employees
who are engaged in interstate commerce and to those en­
gaged in the production of goods for such commerce. Au­
thority to regulate interstate commerce is reserved to the
Federal Government by the Constitution of the United
States.
JOB ANALYSIS
Systematic study of a job to discover its specifications, its
mental, physical, and skill requirements, its relation to
other jobs in the plant, e tc ., usually for wage setting or
job simplification purposes. (See Job Description.)

JOB CLASSIFICATION
Arrangement of tasks in an establishment or industry into
a limited series of jobs or occupations, rated in terms of
skill, responsibility, experience, training, and similar con­
siderations, usually for wage setting purposes. This term,
or job class, may also be used in reference to a single
cluster of jobs of approximately equal "worth. "




44
JOB DESCRIPTION
A written statement listing the elements of a particular job
or occupation, e. g . , purpose, duties, equipment used,
qualifications, training, physical and mental demands,
working conditions, etc.

JOB EVALUATION (JOB GRADING;
JOB RATING)
Determination of the relative importance or ranking of jobs
in an establishment, for wage setting purposes, by system­
atically rating them on the basis of selected factors, such
as skill, responsibility, experience, etc. Ordinarily used
as a means of determining relative levels, not the actual
rate structure as a whole.

JOB POSTING
Listing of available jobs, usually on a bulletin board, so
that employees may bid for promotion or transfer.

JOINT AND SURVIVOR OPTION
(SURVIVOR1S OPTION)
A pension plan provision under which the pensioner may
elect to receive a reduced benefit with a guarantee that,
if he dies while his beneficiary is living, payments of a
predetermined proportion of the reduced benefit will be
continued to his beneficiary for life.

JOINT BARGAINING
Usually used to indicate two or more unions joining forces
in negotiating an agreement with a single employer.




45
JOINT BOARD (OR COUNCIL)
Delegate body composed of representatives of locals of a
single national or international union in a particular area,
working together to further the interests of the union* When
more than one union is involved, the term "trade council"
may be used.
JOINT LOCKOUT: LOCKOUT

JOURNEYMAN
A fully qualified craftsman, generally having mastered his
trade by serving an apprenticeship.

JOURNEYMAN RATE
Rate of pay for a fully qualified worker in a skilled trade
or craft, usually as distinguished from apprentice rate,
helpers* rate, probationary rate, etc.

JURISDICTION
Among unions, the right or claim to represent workers
within specified occupations, industries, or geographical
boundaries.
JURISDICTIONAL DISPUTE
Conflict between two or more unions over the organization
of a particular establishment or whether a certain type of
work should be performed by members of one union or
another. Jurisdictional strike— a work stoppage resulting
from a jurisdictional dispute.
JURY-DUTY PAY
Pay or allowance granted to an employee for working time
spent on jury duty, usually in addition to fees paid by the
court.




46
JUST CAUSE
Good or fair reasons for discipline. This term is commonly
used in agreement provisions safeguarding workers from un­
justified discharge or a lesser punishment. When defined
in agreements, it usually includes such offenses as insub­
ordination, fighting, inefficiency, etc.

KAISER STEEL LONG-RANGE SHARING PLAN
Negotiated by the Kaiser Steel Corp. and the Steelworkers
union in 1963, this highly publicized plan guarantees em­
ployees against loss of jobs or income caused by techno­
logical change and provides for sharing savings in materials
or labor costs.

KICKBACK
Term for a coercive, illegal, or secret return of wages,
fees, e tc ., as in the return of a portion of his pay by a
worker to an employer or supervisor as a bribe for ob­
taining or retaining his job.

LABOR
Dictionaries and economics textbooks provide full scope to
the varied meanings and uses of this term, but the chances
are that readers will most often see it used as a synonym
for organized labor, the AFL-CIO, a particular union, or
any union.

LABOR AREA: LABOR MARKET AREA

LA BO R D IS P U TE :




D IS P U TE

47
LABOR FORCE (WORK FORCE)
In census terms, all persons age 14 or over, employed or
unemployed (but looking for work). Total labor force in­
cludes members of the Armed Forces; civilian labor force
excludes them. Term is often used to designate total em­
ployment of a particular company or industry.

LABOR GRADES
One of a series of rate steps (single rate or a range of
rates) in the wage structure of an establishment.
Labor
grades are typically the outcome of some form of job
evaluation, or of wage-rate negotiations, by which different
occupations are grouped, so that occupations of approxi­
mately equal "value" or "worth" fall into the same grade
and, thus, command the same rate of pay. (See Job
Classification; Job Evaluation.)

LABOR INJUNCTION: INJUNCTION

LABOR MANAGEMENT RELATIONS ACT, 1947
(TAFT-HARTLEY ACT)
Federal law, amending the National Labor Relations Act
(Wagner Act), 1935, which, among other changes, defined
and made illegal a number of unfair labor practices by
unions. It preserved the guarantee of the right of workers
to organize and bargain collectively with their employers,
or to refrain from such activities, and retained the defini­
tion of unfair labor practices as applied to employers. The
act does not apply to employees in a business or industry
where a labor dispute would not affect interstate commerce.
Other major exclusions are: Employees subject to Railway
Labor Act, agricultural workers, government employees,
nonprofit hospitals, domestic servants, and supervisors.
Amended by Labor-Management Reporting and Disclosure
Act of 1959. (See National Labor Relations Act; National
Labor Relations Board; Unfair Labor Practices; Section 14 (b),
Labor Management Relations Act, 1947.)




48
LABOR-MANAGEMENT REPORTING AND
DISCLOSURE ACT OF 1959 (LANDRUM-GRIFFIN ACT)
This Federal law was designed "to eliminate or prevent
improper practices on the part of labor organizations, em­
ployers, " etc. Its seven titles include a bill of rights to
protect members in their relations with unions; regulations
of trusteeships; standards for elections; and fiduciary re­
sponsibility of union officers. The Labor Management Re­
lations Act, 1947 was amended in certain respects by this
act. Among other changes, hot-cargo clauses in contracts
were forbidden, except for apparel and construction in­
dustries. Restrictions were placed on secondary boycotts
and picketing.

LABOR MARKET AREA (LABOR AREA)
General term often used to mean a geographical area from
which workers may be recruited, surrounding a concen­
tration of establishments. Usually a metropolitan area,
consisting of a central city and its suburbs. At the time
of this writing, the U. S. Department of Labor had aban­
doned the use of "labor market area" in favor of "labor
area."

LABOR MOBILITY
General term to describe the extent to which workers can,
are willing to, or do move from job to job, employer to
employer, or place to place to find employment or work
of their choice.

LABOR MOVEMENT
General term usually applied to organized labor—its growth,
structure, and activities— but may sometimes encompass
all concerted economic, political, and social activities of
workers.
LABOR ORGANIZATION: UNION




49
LABOR TURNOVER (TURNOVER)
Movement of workers into and out of employment in a
company or industry through hiring, layoffs, recall, quits,
etc.
Labor turnover rates are usually expressed *as the
number of accessions and separations during a given period
per 100 employees.

LANDRUM-GRIFFIN ACT: LABOR-MANAGEMENT
REPORTING AND DISCLOSURE ACT OF 1959

LAYOFF (REDUCTION IN FORCE)
Involuntary separation from employment for a temporary
or indefinite period, without prejudice, that is, resulting
from no fault of the workers. Although "layoff" usually
implies eventual recall, or at least an intent to recall
workers to their jobs, the term is occasionally used for
separations plainly signifying permanent loss of jobs, as in
plant shutdowns. Reduction in force usually signifies per­
manent layoff.

LAYOFF ALLOWANCE: SEVERANCE PAY

LEARNER
Generally, a beginner learning a job for which extensive
technical training or experience is not required. (See
Apprentice.)

LEARNER RATE (BEGINNER RATE)
Rate or, more frequently, schedule of rates applicable to
workers inexperienced in the job for which they are em­
ployed, until they attain the necessary competence. (See
Entrance R ate.)




50
LEARNER* S CERTIFICATE
Certificates issued by the U. S. Department of Labor, under
provisions of the Fair Labor Standards Act of 1938, which
permit employers to pay rates below the statutory minimum
to learners, messengers, apprentices, and handicapped work­
ers so as not to curtail opportunities for their employment.

LEAVE OF ABSENCE
Generally, excused time (unpaid) away from work, usually
for a week or more, without loss of job or seniority.

LEGALLY REQUIRED BENEFITS
Term applied to employee-benefit programs to which em­
ployers must contribute or insurance that they must purchase
for employees according to law. Includes social security,
unemployment compensation, workmen*s compensation, and,
to a lesser extent, State temporary disability insurance, and
the special programs for railroad workers.

LEVEL INCOME OPTION: SOCIAL
SECURITY ADJUSTMENT OPTION
LIFE INSURANCE PLAN
Group term insurance coverage for employees, paid for in
whole or in part by the employer, providing a lump-sum
payment to a worker*s beneficiary in the event of his death.
(See Health and Insurance Plan; Death Benefit. )

LIVING DOCUMENT
This term, as used by unions, expresses the belief that the
terms of an agreement, particularly a long-term agreement,
should be subject to review and renegotiation by the parties
if conditions change or unforeseen events come about,
despite the absence of a reopening clause.




51
LOCAL UNION (LOCAL, CHAPTER, LODGE)
Labor organization comprising the members of a union
within a particular area or establishment, which has been
chartered by, and is affiliated with, a national or inter­
national union.

LOCKOUT (JOINT LOCKOUT)
A temporary withholding of work or denial of employment
to a group of workers by an employer during a labor dis­
pute in order to compel a settlement at or close to the
employees terms. A joint lockout is such an action under­
taken at the same time by a group of employers. Tech­
nically, the distinction between a strike and lockout turns
on which party actually initiates the stoppage. One, how­
ever, can develop into the other. (See Work Stoppage.)

LONG-TERM CONTRACT
Generally, a collective bargaining agreement with a du­
ration of 2 or 3 years or longer, as distinguished from a
1 -year agreement (the standard term up to a decade or so
ago).

LOOSE RATE: RUNAWAY RATE

MADE WORK: FEATHERBEDDING

MAINTENANCE-OF-MEMBERSHIP CLAUSE
An arrangement provided for in a collective bargaining
agreement whereby employees who are members of the
union at the time the agreement is negotiated, or who
voluntarily join the union subsequently, must maintain
their membership for the duration of the agreement, or,
possibly, a shorter period, as a condition of continued
employment. (See Union Security.)




52
MAJOR MEDICAL EXPENSE BENEFIT
(CATASTROPHE INSURANCE)
Plan designed to insure workers against the heavy medical
expenses resulting from catastrophic or prolonged illness or
injury. If the benefit supplements the benefit payable by
a basic health insurance plan (hospital, medical, or sur­
gical), it is called a "supplementary” plan; otherwise, it
is called a "comprehensive" plan. (See Deductible; Health
and Insurance Plan.)

MAKEUP PAY
The difference between actual piecework earnings and
earnings at guaranteed rates or statutory minimum rates.
The term is also associated with the ^practice of permitting
employees to earn a full week*s wages by making up for
lost time.

MAKE-WORK: FEATHERBEDDING

MANAGEMENT
Term applied to the employer and his representatives, or
to corporation executives who are responsible for the ad­
ministration and direction of an enterprise. (See Employer.)

MANAGEMENT PREROGATIVES
As used in union-management relationships, this term is
applied to rights reserved to management, which may be
expressly noted as such in a collective bargaining agree­
ment, usually including the right to schedule production,
to determine the process of manufacture, to maintain order
and efficiency, to hire, etc.




53
MAN-DAYS OF STRIKE IDLENESS
A key measure of strike activity regularly compiled by the
Bureau of Labor Statistics, reflecting working time lost be­
cause of strikes and lockouts. The figures on strike idle­
ness do not include secondary idleness— that is, the effects
of a work stoppage on other establishments or industries
whose employees may be made idle as a result of material
or service shortages.

MANNING TABLE
A listing of the positions, or number of workers, to be used
in the operation of a particular machine or process.

MANPOWER
General term used to designate all persons (male and fe­
male) able and willing to work, that is, the available labor
force. The term is sometimes used in reference to a more
limited group, e. g . , company, industry, community, work­
ers with particular skills, etc.

MANPOWER DEVELOPMENT AND
TRAINING ACT OF 1962
Federal act designed to provide an opportunity for unem­
ployed workers and workers otherwise unable to fulfill new
job demands to learn new skills, by providing vocational,
basic education, on-the-job, and other training programs,
with allowances to trainees under certain circumstances.
The act also calls for a broad program of research into
manpower needs, causes of unemployment, impact of auto­
mation and technological change, and labor mobility.

MANUAL WORKERS: BLUE-COLLAR WORKERS
MARITIME TRADES DEPARTMENT:
DEPARTMENTS, AFL-CIO




54
MASTER AGREEMENT
A single or uniform collective bargaining agreement cov­
ering a number of plants of a single employer or the
members of an employers' association. (See Multiplant
Bargaining; Multiemployer Bargaining.)

MATERNITY BENEFITS
Term applied to health and insurance plan benefits payable
to women workers absent because of pregnancy and child­
birth, and for hospital, surgical, and medical benefits re­
lated thereto, and to workers' wives where such dependents'
benefits are provided.

MEALTIME: PAID LUNCH PERIOD

MEDIATION (CONCILIATION)
An attempt by a third party to help in negotiations or in
the settlement of a dispute between employer and union
through suggestion, advice, or other ways of stimulating
agreement, short of dictating its provisions (a character­
istic of arbitration). Most of the mediation in the United
States is undertaken through Federal and State mediation
agencies.
Mediator— term used to designate person who
undertakes mediation of a dispute. Conciliation— in prac­
tice, synonomous with mediation; the term lives on mainly
in the name of the chief mediation agency. (See Federal
Mediation and Conciliation Service.)

MEDICAL BENEFITS
Plans which provide workers, and in many cases their de­
pendents, with specified medical care (other than that con­
nected with surgery) or a cash allowance toward the cost
of doctors' visits. Generally part of a health and insurance
program. (See Health and Insurance Plan; Health Center. )




55
MEMBER IN GOOD STANDING:
UNION MEMBER
MERIT INCREASE
An increase in the wage rate of a worker, usually given on
the basis of certain criteria of worth, e. g . , efficiency and
performance.
MERIT PROGRESSION: WAGE PROGRESSION
METAL TRADES DEPARTMENT:
DEPARTMENTS, AFL-CIO
MIGRATORY WORKERS
Persons whose principal income is earned from temporary
employment (usually in farming) and who, in the course of
a year, move one or more times, often through several
States.

MILITARY LEAVE
Excused leave of absence for military service, reserve
training, National Guard duty, etc. Time lost may be
paid for by the employer in whole or in part.

MINIMUM WAGE
Rate of pay, established by law or through collective bar­
gaining, below which workers cannot be employed. Ex­
ceptions are frequently made for learners and handicapped
workers. Usually expressed as an hourly rate.

MISSILE SITES LABOR COMMISSION:
THE PRESIDENTS MISSILE SITES
LABOR COMMISSION
MODIFIED UNION SHOP: UNION SHOP




56
MONEY-PURCHASE PLAN:
PENSION PLAN
MONITORSHIP
Supervision or surveillance of a union by an outside party,
usually for a limited time, imposed by order of a court
or parent union organization.

MONTHLY LABOR REVIEW
A monthly magazine devoted to general economic and
labor matters, issued by the Bureau of Labor Statistics,
U. S. Department of Labor.

MOONLIGHTING
Term applied to the simultaneous holding of more than one
paid employment by a worker, e. g . , a full-time job and
a second supplementary job with another employer, or selfemployment.

MOVING ALLOWANCE:
RELOCATION ALLOWANCE
MULTIEMPLOYER BARGAINING
Collective bargaining between a union or unions and a
group of employers, usually represented by an employer
association, resulting in a uniform or master agreement.

MULTIPLANT BARGAINING
(COMPANYWIDE BARGAINING)
Collective bargaining between
unions representing workers in
usually resulting in a master
plants are involved, the term
ately used.




a company and the union or
more than one of its plants,
agreement. If all or most
"companywide" is appropri­

57
NATIONAL COMMISSION ON TECHNOLOGY,
AUTOMATION, AND ECONOMIC PROGRESS
A temporary 14-member public body, established by Act
of Congress in August 1964, to study the effects and pace
of technological change in the United States and to make
recommendations for public and private action to promote
technological change and to facilitate adjustments thereto,
NATIONAL EMERGENCY DISPUTE
Term us ed in the Labor Management Relations (TaftHartley) Act to designate an actual or threatened strike or
lockout which may imperil the national health or safety.
If such a possibility exists in the opinion of the President, he
may appoint a board of inquiry to investigate the issues in
the dispute. Upon receiving a report from the board, the
President may direct the Attorney-General to petition the
appropriate district court for an 80-day injunction, during
which time the board of inquiry and the National Labor
Relations Board have certain functions to perform. If no
settlement is reached during this cooling-off period, the
parties are free to resume their dispute, and the President
may recommend appropriate action to the Congress.

NATIONAL FEDERATION OF
INDEPENDENT UNIONS
Formed by the merger of the Confederated Unions of Amer­
ica and the National Independent Union Council in 1963,
this federation promotes independent unions and a loose
form of affiliation among its member organizations.
NATIONAL LABOR RELATIONS ACT,
1935 (WAGNER ACT)
Basic Federal act guaranteeing workers the right to organize
and bargain collectively through representatives of their
own choosing. Also, defined " unfair labor practices" as
regards employers. Amended by the Labor Management
Relations Act, 1947 and the Labor-Management Reporting
and Disclosure Act of 1959.




58
NATIONAL LABOR RELATIONS BOARD (NLRB)
Agency created by the National Labor Relations Act, 1935,
and continued through subsequent amendments, whose func­
tions are to define appropriate bargaining units, to hold
elections to determine whether a majority of workers want
to be represented by a specific union or no union, to certify
unions to represent employees, to interpret and apply the
act*s provisions prohibiting certain employer and union un­
fair practices, and otherwise to administer the provisions
of the act. (See Labor Management Relations Act, 1947.)

NATIONAL MEDIATION BOARD
Agency established by the Railway Labor Act, 1926, to
provide aid in settling disputes between railway and air­
line companies and unions over union representation, nego­
tiation of changes in agreements, and interpretation of
agreements reached through mediation.

NATIONAL RAILROAD ADJUSTMENT BOARD
Federal agency established in 1934 which functions as a
board of arbitration, handing down final and binding de­
cisions on disputes arising out of grievances, or the appli­
cation and interpretation of agreements, in the railroad
industry (airline industry not covered). Board is composed
of 36 members, 18 of whom represent and are paid by the
carriers and 18 by national railway labor organizations.
NATIONAL REPRESENTATIVE:
INTERNATIONAL REPRESENTATIVE
NATIONAL UNION
Ordinarily, a union composed of a number of affiliated
local unions. The Bureau of Labor Statistics, in its union
directory, defines a national union as one with agreements
with different employers in more than one State, or an
affiliate of the AFL-CIO, or a national organization of
government employees. (See International Union. )




59
NEGOTIATION: COLLECTIVE BARGAINING

NIGHT SHIFT: SHIFT

NONPRODUCTION BONUS
An extra payment to employees which depends on factors
other than the output of the individual worker, such as
profit-sharing, safety, attendance, and Christmas bonuses.
(See Bonus Plan; Production Bonus.)

NO-RAIDING AGREEMENT:
RAIDING

NORMAL RETIREMENT:
RETIREMENT

NORMAL RETIREMENT AGE
In technical terms, the earliest age at which a worker under
a pension plan may retire of his own accord and receive
the full amount of benefits to which he is entitled under
the normal benefit formula of the plan.
In most plans,
and under social security, this age is 65 years.

NORRIS-LaGUARDIA ACT:
ANTI-INJUNCTION LAW, 1932

NO-STRIKE, NO-LOCKOUT CLAUSE
Provision in a collective bargaining agreement through
which the union agrees not to strike and the employer
agrees not to lockout employees for the duration of the
contract. These pledges may be hedged by certain quali­
fications, e. g . , the union may strike if the employer
violates the agreement.




60
OCCUPATIONAL RATES
Wage rates (single or rate ranges) for particular occupations
in an establishment, industry, or area.

OLD-AGE, SURVIVORS AND DISABILITY
INSURANCE BENEFITS (OASDI)
Retirement income and survivors1 and disability payments
available to eligible workers covered by Federal social
security legislation.

OPEN-END AGREEMENT
Collective bargaining agreement with no definite termi­
nation date, usually subject to reopening for negotiations
or to termination at any time upon proper notice by either
party.
OPEN SHOP
Term commonly applied to an establishment with a policy
of not recognizing or dealing with a labor union. Term
may sometimes be applied to an organized establishment
where union membership is not a condition of employment.
(See Union Security.)
OPEN UNION
A union which will admit any qualified person to member­
ship, usually upon payment of reasonable initiation fees.
(See Closed Union.)

ORGANIZER (UNION ORGANIZER)
Employee of a u n i o n or federation (usually paid but
sometimes a volunteer) whose duties include recruiting
new members for the union, assisting in forming unions
in nonunion companies, assisting in campaigns for rec­
ognition, etc.




61
OUTLAW STRIKE: STRIKE
OUT-OF-LINE RATE: RED CIRCLE RATE

OUT-OF-WORK BENEFITS
Usually, p a y m e n t s
members.

made by a union to unemployed

OUTPUT PER MAN-HOUR: PRODUCTIVITY

OVERTIME
Work performed in excess of basic workday or workweek,
as defined by law, collective bargaining agreement, or
company policy. Sometimes applied to work performed on
Saturdays, Sundays, and holidays at premium rates.

OVERTIME PAY (PREMIUM OVERTIME PAY)
Payment at premium rates (e. g., time and one-half, double
time) for work defined as overtime. (See Overtime.)

PACKAGE SETTLEMENT
Term used to describe the total money value (usually
quoted in cents per hour) of a change in wages and supple­
mentary benefits negotiated by a union in a contract re­
newal or reopening.
PACT: AGREEMENT

PAID ABSENCE ALLOWANCE
Payment for lost working time available to workers for
various types of leave not otherwise compensated for, e. g.,
excused personal leave.




62
PAID HOLIDAYS
Holidays are days of special religious, cultural, social, or
patriotic significance on which work or business ordinarily
ceases. Paid holidays are those, established by agreement
or by company policy, for which workers receive their full
daily pay without working. Half-day holidays are also
common. (See Holiday Premium Pay; Unpaid Holidays.)

PAID LUNCH PERIOD

(MEALTIME)

Time allowed for eating lunch (or the mid-shift meal on
late shifts), commonly 20—30 minutes, counted as part of
the paid workday. Usually practiced where employees can­
not leave their workplaces for meals (e. g . , coal mining).
Agreements sometimes also require company to furnish
meals when workers remain in the plant for overtime work.

PAID VACATIONS
Excused leave of absence of a week or more, with full
pay, granted to workers annually for purposes of rest and
recreation. Paid vacations are provided in private industry
by collective bargaining agreements or company policy, not
by law. Vacations are frequently graduated by length of
service, e. g . , 1 week of vacation after 1 year*s service;
2 weeks after 5 years; 3 weeks after 15 years; and 4 weeks
after 25 years. (See Extended Vacation Plan.)

PAPER LOCALS
Local unions which exist only "on paper" (charter) with no
actual membership.

PART-TIME EMPLOYEE
Worker employed on a temporary or regular basis for a
workweek substantially shorter than the scheduled week foT
full-time employees.




63
PAST PRACTICE
Existing practices in the plant or company, sanctioned by
use and acceptance, that are not specifically included in
the collective bargaining agreement, except, perhaps, by
reference to their continuance.

PAST SERVICE
Under a pension plan, years of employment or credited
service prior to the establishment of the plan or a change
in the plan's benefits.

PATTERN BARGAINING
Term applied to follow-the-leader negotiating practices in
an industry. (See Wage Pattern.)

PAY-AS-YOU-GO:
UNFUNDED PLAN

PAY-IN-LIEU-OF-NOTICE
Where employers are required to provide advance notice
of layoff, agreements often require the employer to pay
workers for the full notice period as a penalty for failure
to give notice, or permit the employer the choice of giving
notice or making payment.

PAYMENT BY RESULTS:
INCENTIVE WAGE SYSTEM

PAYMENT CERTAIN GUARANTEE:
PERIOD CERTAIN OPTION




64
PAYROLL DEDUCTIONS
Amounts withheld from employees' earnings by the em­
ployer for social security, Federal income taxes, and other
governmental levies; also may include union dues, group
insurance premiums, and other authorized wage assignments.

PAYROLL PERIOD
Frequency with which workers' wages are calculated and
paid, usually weekly, biweekly, or semimonthly.
PEG POINTS (BENCHMARKS)
Occupational rates for key unskilled, semiskilled, or skilled
jobs, used to establish wage rates for other jobs by com­
parison.
PENALTY RATE
Extra rate paid for particularly hazardous or onerous work.
The term is at times applied to any premium or overtime
rate. (See Hazard Pay; Premium Pay.)

PENSION PLAN (RETIREMENT PLAN;
GROUP ANNUITY PLAN; ANNUITY)
Any plan whose primary purpose is to provide regular pay­
ments for life to employees upon retirement. Additional
benefits are often provided. The term private pension plans
is often used to distinguish voluntary plans from the social
security system. If the employee shares in the cost, the
plan is contributory; if the cost is borne entirely by the em­
ployer, the plan is noncontributory. Group annuity plan—
pension plan underwritten and administered by an insurance
company.
Trusteed plan— noninsured; contributions de­
posited with bank, trust company, or board of trustees, who
administers the program. Deposit administration— insurance
company assumes role of trustee, as above. Money-purchase
plan— fixed contributions to the worker's account, His
pension thus determined by the amount contributed.




65

PER CAPITA TAX
Regular payments made on the basis of a paid-up member­
ship count by a local union to its national organization, or
by a national union to a federation, to finance the activities
of the parent organization. Amount usually set by union
constitution.

PERIOD CERTAIN OPTION
Provision in a pension plan under which the pensioner may
elect to receive a reduced benefit for life, on the condi­
tion that if he dies before receiving a specified number of
payments the balance is continued to his beneficiary. A
guarantee of a specified number of payments may be a
standard plan provision, in which case it is called a payment certain guarantee.

PERMANENT AND TOTAL DISABILITY
Inability of a worker to perform his job, or any job, owing
to physical or mental impairment which is expected to be of
long-continued and indefinite duration. The existence of
the impairment must be certified by a physician, under the
Social Security Act and most private pension plans, in
order to qualify for benefits. Mental disabilities may be
excluded by some pension plans.

PERMIT CARD (WORK PERMIT)
Card issued by a union to a nonmember which permits him
to accept or retain employment on a temporary basis in a
union shop or on a union job.

PERQUISITES
Food, lodging, or other services and merchandise regularly
given to workers by employer in addition to monetary
compensation.




66

PERSONAL LEAVE
Excused leave for reasons important to the individual work­
er, but not otherwise provided for, e. g . , getting married.

PERSONALIZED RATE: RED CIRCLE RATE

PICKETING
Patrolling near employees place of business by union mem­
bers (pickets) to publicize the existence of a labor dispute,
persuade workers to join the union or the strike, discourage
customers from buying or using employees goods or service,
etc. Organizational picketing— picketing carried on by the
union for the purpose of persuading employees to join the
union or authorize the union to represent them.
Recognitional picketing— picketing to compel the employer to
recognize the union as the exclusive bargaining agent for
his employees. Informational picketing—picketing directed
toward advising the public that an employer does not em­
ploy members of, or have a contract with, a union.

PIECE RATE
Predetermined amount paid per unit of output to worker
under a piecework incentive plan.

PIECEWORK
Method of wage payment based on the number of units
produced, or any work for which piece rates are paid.

P. M. (PREMIUM MONEY; PUSH MONEY)
An additional payment to sales people in retail trade, to
push the sale of items on which the profit is large, to dis­
pose of slow-moving items, or to stimulate a sales pro­
motion campaign.




67

PLANS FOR PROGRESS: PRESIDENTS COMMITTEE
ON EQUAL EMPLOYMENT OPPORTUNITY

PORTAL-TO-PORTAL PAY
Payment for time spent in traveling to and from the plant
or mine entrance to the working site, or, conceptually, for
all time in the plant rather than time at the workplace.

POSTING: JOB POSTING

PREFERENTIAL HIRING
Agreed-upon arrangement whereby the employer gives pref­
erence in hiring to union members, to applicants with
previous training and experience in the industry, to workers
displaced from another plant or from another part of a par­
ticular plant, or by order of the National Labor Relations
Board to employees found to be discriminatorily discharged.

PREMIUM PAY
Compensation at greater than regular rate. May refer to
overtime, shift differentials, or penalty rates.

PREMIUM OVERTIME PAY: OVERTIME PAY

PRESIDENTS ADVISORY COMMITTEE ON
LABOR-MANAGEMENT POLICY
Established by the President in 1961, this committee of
outside experts (representing labor, management, and the
public) studies and recommends policies to promote free
and responsible collective bargaining, industrial peace,
sound wage and price policies, higher standards of living,
and increased productivity. The Secretary of Labor and
the Secretary of Commerce alternate as chairman.




68

PRESIDENT'S COMMITTEE ON EMPLOYMENT
OF THE HANDICAPPED, THE
A long-standing Federal Government committee whose pur­
pose is to encourage the development of maximum em­
ployment opportunities for the handicapped*

PRESIDENT'S COMMITTEE ON EQUAL
EMPLOYMENT OPPORTUNITY
(PLANS FOR PROGRESS)
A committee set up by the President in March 1961 to
study employment practices of the U. S. Government, and
to recommend steps to be taken by executive departments
and agencies to promote nondiscrimination in employment
in the Federal Government, with government contractors,
and on Federally assisted construction projects. Plans for
progress— program under which participating companies
actively engage in increasing opportunities for equal em­
ployment, going beyond the requirements of the Executive
orders enforced by the Committee.

PRESIDENT'S MISSILE SITES LABOR
COMMISSION, THE
Commission of public, union, and employer representatives
established in 1961 to develop policies, procedures, and
methods of adjustment for labor problems and disputes at
missile and space sites. The program relies primarily on
a no-strike pledge and on voluntary settlement of disputes.

PREVAILING RATE (GOING RATE)
Term has no precise statistical meaning in ordinary usage.
May refer to average level of wages paid by employers
for specific occupations in a community or area; or rate
most commonly paid; or rate paid to most workers; or rate
established by union contracts.




69

PREVAILING WAGE LAW, 1931
(DAVIS-BACON ACT)
Federal act requiring the payment of prevailing wage rates
in the locality on construction, alteration, or repair of
public buildings, or public works performed under contract
with the Federal Government, Amended in 1964 to include
certain payments for fringe benefits as part of the pre­
vailing rate,
PREVENTIVE MEDIATION
A function of the Federal Mediation and Conciliation Serv­
ice involving the development of procedures by union and
management designed to anticipate and to study potential
problems. This may take the form of early entry into labor
disputes before a strike threatens.
PRICE LIST
Listing of piece prices or rates to be paid for piecework,
usually established by company-union negotiation.

PROBATIONARY PERIOD
Usually a stipulated period of time (e. g ., 30 days) during
which a newly hired employee is on trial prior to estab­
lishing seniority or otherwise becoming a regular employee.
Sometimes used in relation to discipline, e. g ., a period
during which a regular employee, guilty of misbehavior,
is on trail.
Probationary employee-—a worker in a pro­
bationary period. Where informal probation is the practice,
a worker who has not yet attained the status of regular
employee may be called a temporary employee.
(See
Regular Employee.)

PROBATIONARY RATE
Trial rate of pay for an experienced and otherwise qualified
worker during the initial period of his employment on a new
job or in a new plant.




70

PRODUCTION BONUS
Extra payment directly related to the output of an indi­
vidual worker or a group of workers. (See Bonus Plan;
Nonproduction Bonus.)

PRODUCTION STANDARDS
Usually, expected output of a worker or group of workers,
consistent with the quality of workmanship, efficiency of
operations, and the reasonable working capacities of normal
operators.
PRODUCTION WORKERS
Usually, employees directly involved in manufacturing or
operational processes, as distinguished from supervisory,
sales, executive, and office employees. The term "pro­
duction and related workers" as used in Federal Govern­
ment statistics is usually specifically defined for survey
purposes.

PRODUCTIVITY (OUTPUT PER MAN-HOUR)
Term referring to efficiency of production; in technical
terms, as in measuring rate of change, usually stated as a
ratio of units of output to a unit of input, e. g . , 10 units
per man-hour.
PRODUCTIVITY FACTOR:
ANNUAL IMPROVEMENT FACTOR

PROFIT-SHARING PLAN
Any procedure under which an employer pays his employees,
in addition to their regular pay, a share of the profits of
the business as a whole. Deferred profit-sharing plan—
share of profits set aside in a fund to be distributed at some
later date, usually when the employee retires (a form of
retirement plan).




71

PROGRESSION SYSTEM: WAGE PROGRESSION

PUBLIC CONTRACTS ACT, 1936
(WALSH-HEALEY ACT)
This act prescribes basic labor standards for work done on
U. S. Government contracts exceeding $10,000 in value for
materials, articles, supplies, equipment, and naval vessels.
The Secretary of Labor is authorized to determine prevailing
minimum wages in the industry. The act, among other
matters, also provides for daily and weekly overtime and
health and safety standards.

PYRAMIDING
Double payment of overtime rates for overtime work which
may result from paying both daily and weekly overtime
rates for same hours of work; sometimes applied to any
premium added to another premium rate.

QUICKIE STRIKE: STRIKE

QUIT
Voluntary termination of employment initiated by em­
ployee, as distinguished from dismissal or layoff which are
involuntary.

RAIDING (NO-RAIDING AGREEMENT)
Term applied to a union's attempt to enroll members be­
longing to another union or already covered by a collective
bargaining agreement negotiated by another union, with
the intent to usurp the union's bargaining relationship. Noraiding agreement— written pledge signed by two unions or
more to abstain from raiding, applicable only to signatory
unions.




72

RAILWAY EMPLOYES' DEPARTMENT:
DEPARTMENTS, AFL-CIO

RAILWAY LABOR ACT,

1926

Federal law which established a framework for labormanagement relations in the railroad industry and (later)
the airline industry. Two agencies administer the act:
National Mediation Board, and National Railroad Adjust­
ment Board. (See also Emergency Boards.)

RAILROAD RETIREMENT ACT OF 1935
Federal act establishing a nationwide program providing
railroad employees with retirement benefits (old-age, dis­
ability, and survivors' benefits) based on the individual
worker's earnings and length of service in the railroad in­
dustry. Railroad workers are not covered by the Social
Security Act.

RANK AND FILE
Members of an organization, exclusive of officer and em­
ployees.

RATE CUTTING
Term applied to a reduction by management of established
incentive or time wage rates in the absence of comparable
changes in job content, or any actions by companies in
reducing wages.

RATE RANGE
Two rates of pay or more for the same job, with the specific
rates of individual workers at or between the bottom and
the top rates determined by merit, length of service, or
a combination of the two.




73
RATE SETTING
Process of establishing wage or piece rates for a job or
operation.

RATIFICATION
Formal approval of a newly negotiated agreement by vote
of the union members affected.

REAL WAGES
Purchasing power of money wages, or the amount of goods
and services that can be acquired with money wages. An
index of real wages takes into account changes over time
in earnings levels and in price levels as measured by an
appropriate index, e. g ., the Consumer Price Index.

RECALL
Process of bringing laid-off employees back to work, usually
based on the same principles that governed order of layoff
in inverse order (e. g . , last worker laid off is first to be re­
called). In union affairs, recall is a procedure for removing
(disciplining) an officer by means of a membership vote.

RECOGNITION: UNION RECOGNITION

RED CIRCLE RATE (OUT-OF-LINE RATE;
PERSONALIZED RATE; FLAGGED RATE)
Rate of pay higher than the contractual, or formally es­
tablished, rate for a job. The special rate is usually
attached to the incumbent worker, not to the job as such.
This procedure is commonly used to protect long-service
workers from a decline in earnings through no fault of
their own.




74
REDUCTION IN FORCE: LAYOFF

REFERENDUM
Process by which all members of a union vote, usually as
individuals, for the election of officers, changes in union
constitution, e tc ,, as distinguished from decisionmaking
through delegates assembled in convention.

REGULAR EMPLOYEE
Usually, a full-time employee who has fulfilled formal or
informal probationary requirements, as distinguished from
seasonal, part-time, probationary, and temporary employ­
ees. (See Probationary Period.)

REGULAR RATE
Usually, basic rate of pay or the straight-time rate. The
Fair Labor Standards Act defines "regular rate of pay" for
overtime pay computations; collective bargaining agree­
ments also usually define the term for calculation purposes
(vacation pay, overtime, e tc .).

REHIRE
As a verb—-to re employ a worker previously separated. As
a noun— a former employee returned to his job as a new
employee.

RELIEF TIME (SPELLOUT)
Time during which a worker is permitted to leave his
workplace, usually for personal needs, with his place being
taken by a substitute when necessary. (See Rest Period.)




75
RELOCATION ALLOWANCE
(MOVING ALLOWANCE)
Payment to workers of all or part of their expenses in
moving to a new location, or a fixed allowance to be used
for this purpose.

REOPENING CLAUSE (WAGE REOPENER)
Clause in a collective bargaining agreement stating the
time or the circumstances under which negotiations can be
requested, prior to the expiration of the contract. Re­
openings are usually restricted to wage issues and, per­
haps, other specified economic issues, not to the contract
as a whole.

REPORTING PAY
Minimum pay guaranteed to a worker who is scheduled to
work, reports for work, and finds no work available, or less
work than can be done in the guaranteed period (usually
4 hours). Sometimes identified as "call-in pay. " (See
Call-in Pay. )

REPRESENTATION ELECTION (ELECTION)
Election conducted to determine by a majority vote of the
employees in an appropriate unit (see Bargaining Unit)
which, if any, union is desired as their exclusive repre­
sentative. These elections are usually conducted by the
National Labor Relations Board or by State labor relations
agencies.

REST PERIOD (COFFEE BREAK;
BREAK TIME)
Brief interruption in the workday, usually of 5 to 15 min­
utes1 duration* during which the worker rests, smokes, or
takes refreshments without loss of pay. (See Relief T im e .)




76
RETIREMENT
Withdrawal from working life or from a particular employ­
ment because of old age, disability, e tc ., with an income.
Normal retirement is retirement for age, usually at age 65
or later. Early retirement is retirement prior to the normal
retirement age. Disability retirement is retirement prior
to the normal retirement age because of poor health or in­
jury disabling the worker. Special early retirement— extra
early retirement benefits provided under specified circum­
stances, e. g . , involuntary separation. (See Pension Plan;
Social Security A ct.)

RETIREMENT PLAN: PENSION PLAN

RETRAINING
Development of new skills for workers through a definite
program, so that they are able to qualify for new or dif­
ferent work.

RETROACTIVE PAY
Wages due for past services, frequently required when wage
increases are made effective as of an earlier date; or when
contract negotiations are extended beyond the expiration
date. (See Back Pay.)

RIGHT-TO-WORK LAW
Term applied to State legislation which prohibits any con­
tractual requirement that a worker join a union in order
to get or keep a job, thus banning provisions in agree­
ments requiring employees to become and remain union
members (otherwise permissible under Labor Management
Relations Act). (See Section 14 (b), Labor Management
Relations A ct.)




77
ROLLING: BUMPING

ROTATING SHIFT: SHIFT

ROUND-THE-CLOCK OPERATIONS:
CONTINUOUS OPERATIONS

ROYALTY
As used by some unions, term for employer payments to
health, welfare, or retirement funds.
For professional
workers, royalties are payments for work based upon a per­
centage of the return on the sale of the final product (an
invention, book, piece of music, e tc .).

RUNAWAY RATE (LOOSE RATE)
Piece rate or other incentive rate which, because of changed
technology or faulty rate setting, yields earnings that are
substantially higher than earnings on other jobs with similar
work requirements.

RUNAWAY SHOP
Term used by unions to characterize a business establish­
ment which moves to evade a union or State labor laws,
or to reap a competitive advantage from low wage standards
in another area, dismissing all or most of its regular em­
ployees in the process.

RUNOFF ELECTION
A second election conducted after the first produces no
winner according to the rules. If more than two con­
tenders were in the first contest, the runoff may be limited
to the two highest. (See Representation Election. )




78
SALARY RATE
For workers hired on a weekly, monthly, or annual basis
(e. g., clerical, technical, managerial employees), the rate
of pay normally expressed in terms of dollars per week,
month, or year.
SAVINGS PLAN: THRIFT PLAN
SCAB: STRIKEBREAKER
SCALE: UNION RATE

SCANLON PLAN
A formal program which has as its general objective the
reduction of labor costs through increased efficiency and
the sharing of the resultant savings among workers. The
scope and details of the few plans bearing this name vary
considerably.

SEASONAL EMPLOYMENT
Employment during part of the year only, arising out of the
seasonal character of an industry. Agricultural, cannery,
construction, and lumber workers are examples of workers
subject to seasonal employment.
SECONDARY BOYCOTT: BOYCOTT
SECTION 14 (b), LABOR MANAGEMENT
RELATIONS ACT, 1947
This section of the Taft-Hartley Act provides the opening
through which States may enact "right-to-work" laws. It
reads as follows: "Nothing in this act shall be construed
as authorizing the execution or application of agreements
requiring membership in a labor organization as a condition
of employment in any State or Territory in which such ex­
ecution or application is prohibited by State or Territorial
law. " (See Right-to-Work Law.)




79
SENIORITY
Term used to designate an employee’ s status relative to
other employees, as in determining order of promotion,
layoff, vacations, etc. Straight seniority—seniority acquired
solely through length of service. Qualified seniority— other
factors such as ability considered with length of service.
Departmental or unit seniority— seniority applicable in a
particular section of a plant, rather than in the entire es­
tablishment. Plantwide or companywide seniority—seniority
applicable throughout the plant or company. Seniority
list— individual workers ranked in order of seniority. (See
Superseniority.)

SEPARATION PAY OF ALLOWANCE:
SEVERANCE PAY

SERVICE FEE
Fee required by unions to be paid by nonmembers applying
for employment in union hiring halls, as a condition of
referral to employment.

SEVERANCE PAY (DISMISSAL PAY OR ALLOWANCE;
TERMINATION PAY; SEPARATION PAY;
LAYOFF ALLOWANCE)
Monetary allowance paid by employer to displaced em­
ployees, generally upon permanent termination of employ­
ment with no chance of recall, but often upon indefinite
layoff with recall rights intact. Plans usually graduate pay­
ments by length of service.

SHAPEUP
System of hiring work gangs from groups of workers as­
sembled to seek employment. Used in longshore work in
some ports and in the hiring of migratory farm workers.




80
SHARE-THE-WORK: WORK SHARING

SHIFT (TOUR OF DUTY; STINT;
TRICK; TURN)
Term applied to the daily working schedule of a plant or
its employees. Day shift— usually the daylight hours; eve­
ning shift - work schedule ending at or near midnight; night
(graveyard) shift-—work schedule starting at or near midnight. Fixed shift— scheduled hours remain the same, week
after week, for each group of workers. Rotating shift—
practice whereby crews change their hours at periodic inter­
vals. Split shift— daily work schedule divided into two parts
or more. Swing shift— the fourth or rotating shift used on
continuous 7 -day or " round-the-clock” operations.

SHIFT DIFFERENTIAL (SHFT PREMIUM)
Additional compensation (cents per hour or percentage of
day rate) paid to workers employed at other than regular
daytime hours.

SHOP COMMITTEE (GRIEVANCE COMMITTEE;
NEGOTIATING COMMITTEE)
Group of workers selected by fellow employees, usually
union members, to represent them in their dealings with
management.

SHOP RULES (WORKING RULES)
Either regulations established by an employer dealing with
day-to-day conduct in the plant—operations, safety, hygiene,
records, etc. — or working rules set forth in collective bar­
gaining agreements and in some union constitutions.



81

SHOP STEWARD (UNION STEWARD)
A local unions representative in a plant or department
elected by union members (or sometimes appointed by the
union) to carry out union duties, adjust grievances, collect
dues, and solicit new members. Usually a fellow employee.

SHORT-WORKWEEK BENEFIT
As part of a supplemental unemployment benefit plan, pay­
ment to worker for the difference between a specified level
of weekly hours and the hours actually worked or paid for.

SICK BENEFITS: ACCIDENT AND
SICKNESS BENEFITS

SICK LEAVE
Period of time during which a worker may be absent with­
out loss of job or seniority if unable to work because of
illness or accident. A paid sick leave plan provides for
full or partial pay for such absence, usually up to a stipu­
lated maximum.
Sick leave plans differ from accident
and sickness benefits, principally in that the former cover
shorter periods of absence, usually provide higher pay, and
are uninsured. (See Accident and Sickness Benefits.)

SINGLE-COMPANY UNION
An independent or unaffiliated union of employees of one
company, usually with no formal ties to any other labor
organization.

SINGLE RATE
Rate of pay which is the same for all workers in the same
job or job classification.




82

SITDOWN STRIKE: STRIKE
SLOWDOWN: STRIKE

SOCIAL SECURITY ACT, 1935
Federal law establishing a national social insurance pro­
gram. The law provides for: Old-age, survivors' and dis­
ability benefits (an all-Federal program); public assistance
to the aged, the blind, and to needy families; and unem­
ployment insurance (both Federal-State programs). The
coverage and other provisions have been modified several
times since enactment.

SOCIAL SECURITY ADJUSTMENT OPTION
(LEVEL INCOME OPTION)
Pension plan provision under which a worker eligible for
an early retirement benefit may elect to get a larger plan
benefit than is actually due up to the time his social secu­
rity benefit is payable, and a smaller benefit thereafter,
so that a level income is maintained throughout retirement.

SOCIAL SECURITY OFFSET
Under some pension plans, the amount of social security
benefits to which a retiring worker is entitled that is to be
deducted from the private plan benefit, as computed, to
obtain the actual benefit payable. The offset or deduction
may be all or part of the social security benefit.

SPEEDUP

c

Workers' term for conditions which force them to increase
effort or production within a given time without a compen­
sating increase in earnings. (See Stretchout.)

SPELLOUT:

RELIEF TIME




83

SPENDABLE EARNINGS
(DISPOSABLE INCOME)
In general, earnings available for spending. As used by the
Bureau of Labor Statistics, gross average weekly earnings
less the estimated amount of the workers* social security
and income tax liability. (See Take-Home Pay.)

SPLIT SHIFT: SHIFT

SPREAD-THE-WORK: WORK SHARING

STANDARD AGREEMENT (FORM AGREEMENT)
Collective bargaining agreement prepared by a national or
international union for use by, or guidance of, its local
unions, designed to produce standardization of practices
within the union* s bargaining relationships. Form Agreement— uniform agreement signed by individual members of
an employers* association and often by employers in the
same line of work but outside the association.

STANDARD RATE
Usually, a uniform rate of pay established for an occupation
or craft in an area or industry through collective bargaining
or by law.

STEP RATES
Fixed levels between the minimum and maximum rates for
an occupation in a wage progression system. (See Wage
Progression.)

STINT:

SHIFT




84
STOCK OPTION PLAN
Plan allowing employees or officers the privilege of pur­
chasing company stock (shares) at a certain price at a time
of their own choosing.

STOCK PURCHASE PLAN
Plan enabling employees to purchase stock (shares) in the
company, with or without employer contributions, generally
under more favorable terms than are available on the open
market.

STRAIGHT TIME
Time worked at regular rate, as distinguished from over­
time. (See Earnings; Overtime.)

STRETCHOUT
Term used by workers when they are required to tend
more machines or assume additional duties within a given
time without a corresponding increase in earnings. (See
Speedup.)

STRIKE (WILDCAT, OUTLAW,
QUICKIE, SLOWDOWN,
SYMPATHY, SIT DOWN, GENERAL)
Temporary stoppage of work by a group of employees (not
necessarily members of a union) to express a grievance,
enforce a demand for changes in the conditions of employ­
ment, obtain recognition, or resolve a dispute with manage­
ment. Wildcat or outlaw strike— a strike not sanctioned by
union and one which violates agreement. Quickie strike—a
spontaneous or unannounced strike. Slowdown—a deliberate
reduction of output without an actual strike in order to
force concession from employer. Sympathy strike— strike
of workers not directly involved in a dispute, but who wish




85

to demonstrate worker solidarity or bring additional pressure
upon company involved. Sitdown strike—strike during which
workers stay inside the plant or workplace, but refuse to
work or allow others to do so. General strike— strike in­
volving all organized workers in a community or country
(rare in the United States). Walkout— same as strike.

STRIKE BENEFITS
Union payments made to members who are on strike.

STRIKEBREAKER (SCAB* FINK)
Worker or person on hire who accepts employment or con­
tinues to work in a plant where an authorized strike is in
process, filling the job of a striker and knowingly assisting
in defeating the strike.
(See Anti-Strikebreaker Law.)

STRIKE DEADLINE
Time set by the union for beginning a strike if a satis­
factory settlement is not reached. Typically, this is at
midnight of the last day of the contract term or the start
of the next day's first shift.

STRIKE FUND
Money allocated by a union or set aside in a separate
account to pay strike benefits and to defray other expenses
of strikes.

STRIKE INSURANCE
Payment by companies in an association to a fund, or for
the purchase of insurance, to reimburse a struck member
company for lost business.




86

STRIKE NOTICE
Formal notice of an intention to strike, presented by the
union to the employer, or to the appropriate Federal Gov­
ernment agency, e. g . , the Federal Mediation and Concil­
iation Service.

STRIKE VOTE
Vote conducted among members of a union to determine
whether or not a strike should be called.

STRUCK WORK OR GOODS
Goods produced or services performed by a firm while a
strike of its employees is in progress. (See Hot-Cargo
Clause.)

SUBCONTRACTING: CONTRACTING-OUT

SUBSISTENCE ALLOWANCE
Payment to a worker for expenses of meals and lodging (and
sometimes transportation) while traveling for his employer;
or reimbursement of living expenses required by the nature
of the job.

SUBSTANDARD RATE
Rate of pay below the established plant or occupational
minimum, allowed for workers who are physically or other­
wise unable to meet the production quota. The term is also
applied to rates below Federal or State minimum wages,
"prevailing" levels, or union scales.




87

SUGGESTION SYSTEM
Plan whereby employees* ideas that may increase efficiency
or improve operations or safety are channeled to the atten­
tion of management; usually combined with a system of
rewards for acceptable ideas.

SUPERANNUATED WORKERS
Term sometimes applied to employees who are unable to
perform their jobs, or any job, at the normal level because
of advanced age and its attendant infirmities.
Superannuated rate— rate of pay below the regular level set for
superannuated workers.

SUPERSENIORITY
A position on the seniority list ahead of what the employee
would acquire solely on the basis of length of service or
other general seniority factors. Usually such favored treat­
ment is reserved to union stewards, or other workers en­
titled to special consideration in connection with layoff
and recall to work.

SUPPLEMENTAL UNEMPLOYMENT
BENEFIT PLANS (SUB)
Introduced by agreement between Ford Motor Co. and the
United Automobile Workers in m id-1955 and subsequently
adopted by other companies in the automobile, steel, and
related industries, these plans provide regular weekly pay­
ments to laid-off workers receiving State unemployment
insurance, through funds financed by the employer. c Other
benefits (e. g . , short-workweek benefits and severance pay
were added to many plans.

SUPPLEMENTARY BENEFITS:




FRINGE BENEFITS

88

SURGICAL BENEFITS
Plans which provide workers, and in many cases their de­
pendents, with specified surgical care or a cash allowance
toward the cost of such care, usually in accordance with a
schedule of surgeonfs fees. Generally part of a health and
insurance program. (See Health and Insurance Plan; Blue
Shield.)

SURVIVORS* BENEFITS (TRANSITION
BENEFITS; BRIDGE BENEFITS;
WIDOW'S ALLOWANCE)
Payments to dependents of employees who die prior to
retirement, financed in whole or in part by the employer.
May be in the form of payments for a fixed period (e. g . ,
24 months) supplementing regular life insurance benefits,
a benefit for life out of a pension program, a lump-sum
payment, etc.

SURVIVOR'S OPTION: JOINT AND
SURVIVOR OPTION

SUSPENSION
Form of disciplinary action of a temporary nature, as in
removing a worker from his job for a stipulated time with
the consequent loss of pay as punishment, or in removing
a union official from office until his affairs are checked
or put into order.

SWEATSHOP
Term of contempt applied to an establishment employing
workers for long hours at low wages under unfavorable
working conditions.




89
SWEETHEART AGREEMENT
A derogatory term for a union contract exceptionally favor­
able to a particular employer, in comparison with other
contracts, implying less favorable conditions of employ­
ment than could be obtained under a legitimate collective
bargaining relationship.
SWING SHIFT: SHIFT
SYMPATHY STRIKE: STRIKE
TAFT-HARTLEY ACT: LABOR MANAGEMENT
RELATIONS ACT, 1947

TAKE-HOME PAY
Generally, earnings for a payroll period, less deductions
(legal and authorized); the amount of cash the worker
’’takes home. ”
TECHNOLOGICAL UNEMPLOYMENT
Displacement of workers caused by, or attributed to, the
installation of labor-saving methods or machinery.

TEMPORARY DISABILITY INSURANCE
Provision enacted into law in four States (California, New
Jersey, New York, and Rhode Island) providing payments for
a limited period of time to workers suffering loss of wages
due to sickness or disability incurred off the job. In all
except the Rhode Island plan, employers may substitute
privately insured coverage meeting certain standards. (See
Workmen's Compensation; Accident and Sickness Benefits.)




90
TEMPORARY EMPLOYEE:
PROBATIONARY PERIOD

TEMPORARY RATES
Wage or piece rates set tentatively on new work, sometimes
called experimental or trail rates.

TERMINATION PAY OR ALLOWANCES:
SEVERANCE PAY

THRIFT PLAN (SAVINGS PLAN)
An arrangement under which payroll deductions are made,
with the worker's consent, for investment and saving, to
which the employer contributes. The accumulated amounts
(contributions plus earnings on the contributions) become
available to the worker, usually after certain conditions
are met.
TIME AND MOTION STUDY
An industrial engineering function involving a study of the
time required and the motions involved in the performance
of a job. The purpose may be to establish standards of
performance, the best way of doing a job, or to determine
incentive wage rates.

TIME AND ONE-HALF
Premium rate consisting of one and one-half times the
employee's regular rate* For example, if worker's regular
rate is $3 an hour, an hour's work at time and one-half
would yield $4. 50, of which $1. 50 is the premium.
TIMEWORK: DAYWORK




91
TONNAGE RATE
Pay on the basis of tons of material handled, common in
basic iron and steel industry and coal mining.
TOOL ALLOWANCE
Allowance to an employee, paid by employer, as reim­
bursement for the cost of tools and their upkeep, where
the employee furnishes his own tools or is responsible for
their maintenance.
TOUR OF DUTY: SHIFT
TRADE COUNCIL: JOINT BOARD
TRADE EXPANSION ACT, 1962
This Federal act, whose purposes include that of expanding
foreign markets for U. S, goods, provides assistance to firms
and workers to adjust to possible adverse effects of increased
imports. Aid to workers includes special weekly unem­
ployment benefits, counseling and retraining, and, in some
cases, relocation allowances.
TRADE UNION: UNION
TRAINEE
Term applied to a worker receiving formal on-the-job
training.
TRANSFER CARD
Card issued by a local union to a member in good standing,
certifying his eligibility to join another local of the same
union in a different location.




92
TRANSITION BENEFITS:
SURVIVORS* BENEFITS
TRAVEL TIME
Time spent traveling to and from a designated point and
the work site. Such time may be paid for as portal-toportal pay in mining, deadheading on railroads, and outof-town work in construction.
TRICK: SHIFT

TRUSTEE
A person, bank, or trust company who administers and takes
responsibility for a trust fund, or a person who is a member
of a board of trustees. (See Fund.)
TRUSTEESHIP
In union affairs, the taking of direct control of a local
union by the national or international union, generally to
correct mismanagement or illegal practices on the part of
local officers, to prevent secession, or to strengthen the
local. Control of the local is returned to members or
officers after the cause for trusteeship has been corrected.
(See Monitorship.)

TRUST FUND: FUND

TUITION PAYMENT PLAN
Plan providing for payment by the employer of part or all
of the costs of job-related training courses undertaken by
employee.




93
TURN: SHIFT
TURNOVER: LABOR TURNOVER

UMPIRE: IMPARTIAL CHAIRMAN
UNAFFILIATED UNION: INDEPENDENT UNION

UNEMPLOYMENT INSURANCE
(UNEMPLOYMENT COMPENSATION)
Joint Federal-State program, established in 1935 under the
Social Security Act and subject to the standards set forth
in the Federal Unemployment Tax Act, under which Stateadministered funds obtained through payroll taxes provide
payments to eligible unemployed persons for specified
periods of time. Levels of benefits and tax rates are es­
tablished by each State. Generally excluded groups include,
among others, railroad workers (covered by Railroad Un­
employment Insurance Act), agricultural workers, State and
municipal employees, and workers in nonprofit institutions.
The Federal part of the program is administered by the
U. S. Department of Labor.
UNFAIR LABOR PRACTICE
Action by either an employer or union which violates the
provisions of National or State labor relations acts, such as
refusal to bargain in good faith. Unfair labor practice
strike- -a strike caused, at least in part, by an employees
unfair labor practice.
UNFAIR LIST
Union list of employers designated as unfair to organized
labor.




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UNFUNDED PLAN (PAY-AS-YOU-GO)
Plan (e. g . , pension plan) under which benefits are paid,
like wages, directly from an employees general assets,
often as a payroll item, as distinguished from a fund ir­
retrievably segregated from the general assets of the firm
and separately administered. Some pension plans are funded
in part and unfunded with regard to certain benefits.
UNION (TRADE UNION, LABOR
UNION, LABOR ORGANIZATION)
Any organization in which workers participate as members,
which exists for the purpose of dealing with employers
concerning grievances, wages, hours, and conditions of
employment. Unions are voluntary organizations and need
no license from the government to operate. Unions may
incorporate if they wish.
UNION AGREEMENT: AGREEMENT
UNION CONTRACT: AGREEMENT
UNION CONVENTION
An assembly of delegates meeting periodically (e. g ., every
2 years) to act on union problems, elect officers, and
determine policies. The convention is typically the chief
governing body of the union in constitutional terms.

UNION DUES
Fee paid periodically, usually monthly, by members of a
union, typically as a condition of continued membership.
Each union sets its own dues requirements. (See Checkoff.)
UNION LABEL (BUG)
Tag, imprint, or design attached to an article as evidence
that it was produced by union labor.




95
UNION LEAVE
Paid or unpaid, but excused, leave for union representatives,
shop stewards, e tc ., to attend to union business, e. g., par­
ticipating in union conventions.
UNION-MANAGEMENT COOPERATION
Voluntary joint participation of union and management in
solving problems such as production and safety, or in en­
gaging in certain outside activities, such as community or
charitable work. The term is usually reserved to joint
actions outside of the process of collective bargaining itself.
UNION MEMBER
A union member may be defined in broad terms as a worker
who has met the union*s qualifications for membership, has
joined the union, and has maintained his membership rights.
Each union usually determines its own qualifications. In
general, dues-paying members are those who pay dues to
the union on a regular basis. Members in good standing
include dues-paying members and members exempted for
various reasons (unemployed, on strike, ill, etc.) but still
carried on the union rolls as full-fledged members. Book
members are those listed on the union rolls, dues-paying
or not.
UNION ORGANIZER: ORGANIZER
UNION RATE (SCALE)
Minimum rate (hourly or weekly) paid to qualified workers
in a specific occupation or trade under the terms of a
union agreement. (See Standard Rate.)
UNION RECOGNITION
Employer acceptance of a union as the representative of his
employees, the first step in the establishement of a collec­
tive bargaining relationship.
UNION REPRESENTATIVE: BUSINESS AGENT




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UNION SECURITY
Protection of a union*s status by a provision in the collec­
tive bargaining agreement establishing a closed shop, union
shop, agency shop, or maintenance-of-membership arrange­
ment, In the absence of such provisions, employees in
the bargaining unit are free to join or support the union
at will, and, thus, in union reasoning, are susceptible to
pressures to refrain or to the inducement of a "free ride."
UNION SHOP
Provision in a collective bargaining agreement that requires
all employees to become members of the union within a
specified time after hiring (typically 30 days), or after a
new provision is negotiated, and to remain members of the
union as a condition of continued employment. Modified
union shop—variations on the union shop. Certain employ­
ees may be exempted, e. g ., those already employed at
the time the provision was negotiated who had, up until
then, not joined the union.
UNION STEWARD: SHOP STEWARD
U.S. DEPARTMENT OF LABOR
The Department was established by Act of Congress in 1913
to "foster, promote, and develop the welfare of the wage
earners of the United States, to improve their working
conditions, and to advance their opportunities for profit­
able employment. " The Department also has important
functions in the field of international labor affairs. The
major bureaus and offices of the Department include:
Bureau of Apprenticeship and Training, Bureau of Employ­
ment Security, Bureau of Labor Standards, Bureau of Labor
Statistics, Wage and Hour and Public Contracts Divisions,
Women1s Bureau, Bureau of International Labor Affairs,
Office of Manpower, Automation and Training, Office of the
Solicitor, Neighborhood Youth Corps, Labor-Management
Services Administration, and Manpower Administration.
The Secretary of Labor heads the Department.




97
UNLICENSED PERSONNEL
Seamen not required to have an official license, such as
deckhands, stewards, firemen, e tc., as distinguished from
licensed masters, mates and engineers.
UNPAID HOLIDAYS
Holidays observed by an establishment only to the extent
of providing premium pay for work on that day. Paid time
off not provided. (See Paid Holidays.)
UPGRADING
Process of raising the pay level of a job relative to other
jobs or of advancing workers to jobs with higher skills and
rates of pay.
VACATION PAY
Wages received by an employee for his vacation period.
(See Paid Vacations.) Pay-in-lieu-of-vacation-vacation
pay to workers who do not take the actual time off, paid
in addition to wages for time worked.
VERTICAL UNION: INDUSTRIAL UNION

VESTING (VESTED RIGHTS)
As commonly used in connection with pension plans, a
guarantee to a worker of his equity in the plan, based on
contributions by the employer on his behalf, should his
employment terminate before he becomes eligible for re­
tirement. The worker usually must meet specified mini­
mum age (e. g., 40 or 45) and service (e. g., 10 or 15 years)
requirements for qualification. The vested worker receives
the pension he has earned when he reaches retirement age,
^ th^n employed.



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WAGE ASSIGNMENT
Voluntary transfer by a worker of some of his earned wages
to another party, e. g ., for the payment of purchases or
debts, union dues or assessments, or charity contributions.
WAGE BOARD EMPLOYEES
Federal Government employees, typically manual workers,
whose rates of pay are determined on the basis of prevailing
rates for comparable work in the area, as distinguished from
Classification Act Employees.
WAGE DETERMINATION
Process of establishing wage rates and wage structures
through collective bargaining, employer determination,
arbitration, or other methods.
WAGE DIFFERENTIALS
Differences in wages among occupations, plants, areas, in­
dustries, type of worker, etc. A more precise definition
is usually attached to the term, e. g ., sex differentials,
geographic differentials, etc.
WAGE DRIFT
Term generally used to describe the differential change
in average earnings levels over time as measured against
negotiated changes. The difference between the level of
actual earnings, which is influenced by many factors, and
the level at which earnings would be if formal general
wage changes alone are taken into account is thus likened
to an upward drift.
WAGE ESCALATION: ESCALATOR CLAUSE
WAGE-HOUR LAW: FAIR LABOR STANDARDS ACT



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WAGE LEADERSHIP
Influence exercised by the wage settlement reached by a
large firm or group of firms on other negotiations in the same
industry or area.

WAGE PATTERN
A wage change negotiated by a major company which is
followed by similar increases in other companies in the same
industry or area.
WAGE-PRICE GUIDELINES: GUIDEPOSTS

WAGE PROGRESSION
Plan providing within-grade pay increases, generally at speci­
fied time intervals or on a merit basis, for workers in occu­
pations having established minimum and maximum wage
rates. (See Automatic Progression; Step Rates. )

WAGE RATE
Monetary compensation for given unit of time or output,
exclusive of premium payments for overtime or other extras.
WAGE REOPENER: REOPENING CLAUSE

WAGE SCALE (WAGE SCHEDULE)
A schedule specifying the pay structure for an establishment,
industry, or locality. May also refer to a single rate. (See
Union Rate.)




100
WAGE STRUCTURE
Total of various elements and considerations that characterize
the schedule of compensation in an establishment, industry,
or area. Such elements are (1) relationship between rates
for occupations of different skill requirements, (2) sex differ­
entials, if any, (3) provisions for shift differentials, over­
time, e tc., (4) interarea, interregional, and union-nonunion
differentials, (5) methods of pay, (6) provisions for lunch
and rest periods, and (7) supplementary benefits such as va­
cations, sick leave, insurance, health and welfare plans, etc.

WAGNER ACT: NATIONAL LABOR
RELATIONS ACT, 1935
WAITING TIME: DOWNTIME
WALKOUT: STRIKE
WALSH-HEALEY ACT:
PUBLIC CONTRACTS ACT

WASHINGTON JOB PROTECTION AGREEMENT
Negotiated in railroad industry in 1936, and still in effect,
this plan provides displacement and severance allowances
to employees required to accept a new position or separated
from employment because of unification, consolidation,
merger, or pooling of separate facilities, operations, or
services.

WATCH
The shift or work period for a seaman aboard ship.




101
WELFARE AND PENSION PLANS
DISCLOSURE ACT, 1958
Federal statute requiring administrators of all health, in­
surance, pension, and unemployment benefit plans over
a minimum size (coverage) to file descriptions of their
plans and financial reports of their operations with the
Secretary of Labor and to make such information available
to plan participants and beneficiaries* In 1962, the law
was strengthened and penalties for violation added*
WELFARE PLAN (EMPLOYEE-BENEFIT PLAN)
General term usually covering health and insurance plans
and other types of employee-benefit plans. The Welfare
and Pension Plans Disclosure Act specifically defines wel­
fare plans for purposes of compliance, but the term is often
used loosely outside of law.
WHIPSAWING
Term applied to a union tactic of negotiating with one em­
ployer at a time, using each negotiated gain as a lever
against the next employer.
WHITE-COLLAR WORKERS
Term used to describe office, clerical, administrative,
sales, professional, and technical employees, as distin­
guished from production and maintenance employees who
are usually referred to as blue-collar workers.

WIDOWS ALLOWANCE: SURVIVORS' BENEFITS

WILDCAT STRIKE: STRIKE

WORKING RULES: SHOP RULES




102

WORK FORCE: LABOR FORCE
WORKLOAD
Amount of work to be performed by an employee, or output
expected, in a given period of time.
WORKMENS COMPENSATION
A system of insurance required by State law and financed
by employers which provides payment to workers or their
families for occupational illness, injuries, or fatalities re­
sulting in loss of wage income.
WORK PERMIT: PERMIT CARD
WORK SHARING (DIVISION OF WORK;
SHARE-THE-WORK; SPREAD-THE-WORK)
An arrangement to avoid layoffs whereby available work
during slack periods is spread as evenly or as equitably as
possible among regular employees by reducing each worker1s
daily or weekly hours. Sometimes arranged on a week-on,
week-off basis.
WORK STOPPAGE
A temporary halt to work, initiated by workers or employer,
in the form of a strike or lockout. This term was adopted
by the Bureau of Labor Statistics to replace "strikes and
lockouts. " In aggregate figures, "work stoppages" usually
means "strikes and lockouts, if any"; as applied to a single
stoppage, it usually means strike or lockout unless it is
clear that it can only be one. The difficulties in ter­
minology arise largely from the inability of the Bureau of
Labor Statistics (and, often, the parties) to distinguish be­
tween strikes and lockouts since the initiating party is not
always evident.




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WORKWEEK
Usually, the expected or actual period of employment for
the week, generally expressed in number of hours. Some
uses of the term may relate to the outside dimensions of
a week (e. g ., 7 consecutive days).
WORLD FEDERATION OF TRADE UNIONS (WFTU)
An international organization of organized labor move­
ments, formed in 1945, which quickly became Communist dominated. In 1949, the International Confederation of
Free Trade Unions was organized to represent the nonCommunist trade unions in the world.
YELLOW-DOG CONTRACT
An oral or written agreement whereby an employee pledges
not to become nor to remain a union member, under
penalty of discharge. Banned in 1932 by the NorrisLaGuardia Act.
ZIPPER CLAUSE
An agreement provision specifically barring any attempt
to reopen negotiations during the term of the agreement.
(See Reopening Clause; Living Document.)*




* U.S. GOVERNMENT PRINTING OFFICE . 1965 0 - 7 7 6 - 4 3 6