Introduction
There has been a lot of talk about how some states have been trying to pass legislation that would make it harder for unions to organize. A fair share cost, means that the Union wants its members to pay their fair share of dues if they want to enjoy the benefits of being in a union, but also understand that they do not have to pay any more than their fair share.
What is a fair share state?
- Fair Share States are states that require public employees to pay a share of union dues.
- These states are also called “right to work” states because they have laws that give employees the right to work without being forced to join or become part of a labor union.
- These states are also called “agency shop” states because they allow unions and employers to agree on an agency shop as long as it’s voluntary for both parties.
What is a right to work state?
A Right to Work (RTW) state is a state in which workers are not required to join a union, or pay union dues, as a condition of employment. In RTW states, employees and employers negotiate the terms of their employment contracts freely and without any requirement that they be represented by an exclusive bargaining agent. Employees do not have to pay an agency fee or fair share fee to fund collective bargaining efforts.
States can pass right-to-work laws either by constitutional amendment or by statute. Twenty-three states have passed right-to-work laws since 2012 after Indiana became the first state with such laws on January 1st, 2012.[1][2] Michigan was the most recent state to pass RTW legislation making it 24th out of 26 total states with in effect RTW laws as of 2018.[3][4]
List of fair share states as of 2020:
The Fair Share state is a union-friendly state that has passed laws encouraging or requiring employers to share the cost of union dues. Currently, there are 11 states in America that fit this description. These are: California, Connecticut, Hawaii, Illinois, New York, Oregon (which also has a Right to Work law), Rhode Island and Washington state as well as Massachusetts and Michigan which have both Open Shop and Right to Work laws respectively.
The remaining 37 U.S states all have right-to-work laws where nonunion workers can work without being required to pay union dues or fees if they don’t want to join one themselves – otherwise known as “Open Shop” states because anyone can join them even if they aren’t part of any particular group like unions or professional organizations like doctors’ groups who sometimes do make membership mandatory before you can work at certain hospitals).
List of right to work states as of 2020:
The list of right to work states is:
Alabama, Arkansas, Arizona, Florida, Georgia, Idaho, Indiana Kansas Kentucky Louisiana Michigan Mississippi Missouri Nebraska North Carolina Oklahoma South Carolina Texas Virginia West Virginia Wyoming
How does this effect labor relations?
You may have heard that fair share states are a source of revenue for unions. This is true: Fair share payments constitute a significant portion of union income, especially for larger unions with high membership rates.
In right-to-work states, on the other hand, fair share agreements are not permitted by law and membership is voluntary. This means that workers in such states cannot be required to pay dues or fees as part of their employment.
What are union dues for?
Union dues are used to fund the union’s activities. These include:
- Political activities, including donating to candidates, lobbying activity and support for political parties and causes;
- Collective bargaining. This includes negotiating wages, benefits and working conditions on behalf of employees in collective bargaining agreements with employers;
- Contract administration (administering the contract between a union and an employer);
- Grievance and arbitration (helping resolve conflicts between employees or between employees and employers).
What is an open shop?
An open shop is a workplace that does not require a union to represent its employees. These workplaces normally have non-union workers, or “right-to-work” employment agreements. In some cases, an employer may not even have an official policy on whether or not they will hire unionized employees; instead, they only accept job applications from non-members of the union in their field of work.
Understanding the difference between fair share states and right to work states is important to understand labor relations.
Right-to-work states are not fair share states. They have nothing to do with union dues or members. The term “right to work” simply means that any employee may choose not to join a union and still receive the same rights and benefits as those who are members, including wages, vacation time, and health insurance.
The main difference between fair share and right-to-work states is whether workers must pay union dues in order to receive these benefits from their employers. In fair share states like New York, you must pay dues if you want to keep your job; this money goes directly toward helping fund your employer’s labor union contract negotiations on behalf of all employees at your company. In right-to-work states such as Texas, however—and there are 28 of them currently—you’re allowed (but not required) by law not only get all the same benefits without paying any dues but also opt out entirely if you so choose (though many unions will try hard convince you otherwise).
Conclusion
Understanding the difference between fair share states and right to work states is important to understand labor relations.