NAM Opposes Faster Labor Contracts Act

The Faster Labor Contracts Act would undermine decades of U.S. labor policy and erode the spirit of cooperation and mutual respect between employers and employees—and Congress should not pass it, the NAM said ahead of the House’s floor vote on the legislation.
What’s going on: Although the legislation’s stated aim is “[t]o accelerate workplace time-to-contract under the National Labor Relations Act,” in practice it would undermine “the cooperation and bargaining process essential to fostering a fair and competitive workplace,” the NAM told House leadership last week.
- Under it, manufacturers and labor unions would have just 90 days to come to an agreement on a first contract. If they miss the deadline, “the two sides would be forced into compulsory third-party contract arbitration.”
Undermining the National Labor Relations Act: The bill also undermines the National Labor Relations Act’s foundational principles.
- For example, the NAM said, the FLCA takes away an employee’s right to vote under the NLRA “if the deadline of 90 days is not met.” This would “strip away the voices of the employees and may result in a contract they would never have agreed to otherwise,” the NAM continued.
- The NLRA states that the government can mandate a good-faith effort to come to an agreement on a first contract but cannot dictate the outcome. That, however, is precisely what the FLCA would do.
What should happen instead: Labor law should aim to improve the relationship of employers, their workers and organized labor, not tilt the balance in favor of one party, the NAM concluded.
- “The NAM opposes efforts to mandate compulsory arbitration and urges Congress to vote no on the FLCA, as it hurts workers’ rights, employee–employer relations and manufacturing competitiveness in the U.S.,” said NAM Managing Vice President of Policy Charles Crain.