Term
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Definition
| Employee wage rate based on the time actually worked |
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Term
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Definition
| A historic union doctrine of “equal pay for equal work.” That provides one standard pay rate for each job and all employees who perform it. |
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Term
| • Union Goals in wage bargaining |
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Definition
| Lynn Williams former president of the United Steelworkers Union Summarized union wage goals as (1) achieving the maximum level of wages and benefits for its members and 2 maintaining all the jobs it could within as viable an industry as possible. |
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Term
| • The Union-non union age differential |
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Definition
| n the United States the size of the union versus nonunion wage differential on average is currently about 19 percent. Thus compared to nonunion workers on similar jobs union workers receive more pay. However exceptions exist. Some nonunion workers at Delta air lines for example before the merger with Northwestern airlines were paid more than union workers at Northwestern. |
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Term
| • Union wage differentials over time |
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Definition
| from the end of WWII to the 1980s the union- non union wage differential in the united states continued to increase but since early 1980s it has had a modest decline. |
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Term
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Definition
| Unions have also affected the structure of wage scales among workers with an employer or industry, negotiating for differences in working conditions, skills, seniority, age and job classification. They have typically flattened or compressed the wage structure among workers in a plant or company and between skilled and unskilled workers |
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Term
| • The form of compensation |
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Definition
| unions in most cases have bargained for wages based on time or hours worked. They have opposed pay systems based on output such as merit or piece rate systems or merit evaluations by supervisors. They have also bargained for additional forms of compensation that are awarded across the board such as bonuses based on senirity, overtime and pensions. |
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Term
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Definition
| unions have in general negotiated for practices and work rules that create or maintain more jobs. |
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Term
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Definition
| Unions have generally strived to pattern or obtain similar wage gains from separate employers within the same industry or sometimes within similar industries or a community. The extent of pattern bargaining has decline somewat since the 1980s |
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Term
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Definition
| a collective bargaining practice in which a national industry or union strives to establish equal wages and benefits from several unions or employers in the same industry |
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Term
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Definition
| agreements that contain pay increases equal to that of another CBA or received by another group. The rationale is that if management can afford to increase pay for one group, it can for another; or one group is as worthy as another. |
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Term
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Definition
| Employees that are not subject to the overtime provisions of the FLSA, including most executive administrative, professional and outside sales employees. |
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Term
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Definition
| Employees who are subject to the overtime provisions of the FLSA and thus must be paid and a half time their normal rate of pay when they work more than 40 hours a week. |
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Term
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Definition
| The Payment of overtime on overtime that occurs if the same hours of work qualify for both daily and weekly overtime payment Most contracts prohibit this type of payment. |
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Term
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Definition
| the hourly wage, usual benefits and overtime, paid to the majority of workers, laborers and mechanics within a particular area. Prevailing wages are established by the department of labor and industries for each trade and occupation employed in the performance of public work. |
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Term
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Definition
| The flat or hourly rate of pay established for each job classification or occupation within a plant or employer, effective for the duration of the CBA |
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Term
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Definition
| A wage system in which employees receive a standard rate of pay per unit of output. The rate of pay is usually based on the average level of production, with bonus rates given on output units exceeding the average level. |
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Term
| • Deferred wage rate increases |
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Definition
| wage rate increases that become effective on later dates as specified in a collective bargaining agreement |
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Term
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Definition
| A collective bargaining provision effective for the term of the contract which provides for contract talks to be reopened only for the renegotiation of wage rates. |
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Term
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Definition
| a multiyear contract that provides a lower wage adjustment in the first year with high increases in later years |
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Term
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Definition
| the negotiated compensation increase given to an employee based on the percentage by which the cost of living has risen, usually measured by a change in the consumer price index. |
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Term
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Definition
| Most provisions use the consumer price index determined by the Bureau of Labor Statistics (BLS) as a standard for measuring change in inflation. Increase in the CPI is lined to increases in wages by an adjustment formula. The two most commonly used formulas are a cents per hour increase for each point increase in the CPI or a percentage increase in wage rates equal to some percentage increase in the CPI. The most commonly used formula provides for a 1 cent increase in wages for each 0.26 of a point increase in the CPI |
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Term
| • When the increases are to be provided |
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Definition
| the majority of agreements provide for inflation adjustments four times a year subsequent to the reported increase in the CPI. This quarterly increase provision is also included in the UAW ford agreement. Other labor agreements provide for adjustments to be made twice a year (semi annually) or once a year (annually) |
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Term
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Definition
| if COLAS are treated as additions to the base pay then other wage adjustments such as shift differential and overtime , will increase after a COLA because they are usually a fixed percentage of a base pay, Thus, the company will find its personnel cost increased by an amount greater than the percentage of COLA. The alternative is to treat the COLAS given during the life of the agreement as a lump sum payment and not as an addition to the base pay. |
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Term
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Definition
| Some labor agreements provide for a maximum cola increase made by the company during the life of the agreement. This maximum is usually referred to as a cap put on the cost of living provisions, The cap assumes management that wage increases because of the CPI increase will not go beyond a certain total. |
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Term
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Definition
| • A pay incentive system in which employees receive a profits in addition to their regular wages. A precise formula specifying how profits will be distributed to employees is the heart of a profit sharing plan |
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Term
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Definition
| a public sector deferred wage increase that is indexed to the growth of future governmental tax revenues |
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Term
| Scanlon Group Incentive Plans |
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Definition
| • A group incentive plan designed by Joseph Scanlon in which greater production is achieved through increased efficiency with the accrued savings being distributed among the workers and the employer. |
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Term
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Definition
| • A wage system that pays newly hired workers less than current employees performing the same or similar jobs. |
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Term
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Definition
| • A method of providing a general wage increases as a onetime payment rather than adding the increase to the hourly or annual salary of the employee. |
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Term
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Definition
| • The financial position of a company and its ability to change its wage rates are general factors involved in negotiations. They are usually a reflection of company profits and will be a basis of a negotiators wage proposal. |
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Term
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Definition
| • A systematic method of determining the worth of a job to an organization. This is usually accomplished by analysis of the internal job factors and comparison to the external job market. |
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Term
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Definition
| • The collection and appraisal of data from various sources used to determine the average salary for specified positions in the job market. |
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Term
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Definition
| The methods of determining the financial impact of a contract change, such as total annual cost, cost per employee per year, percentage of payroll and cents per hour. |
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Term
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Definition
| This is the total sum expended by the company over a year on a given benefit, usually the sum excludes administrative costs. |
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Term
| • Cost Per employee per year |
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Definition
| this is determined by dividing the total costs of benefits by either the average number of employees for the year or the number of employees covered by a particular program. |
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Term
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Definition
| this is the total cost of benefit divided by the total payroll. Companies may include all payments to all employees in the total payroll, but some exclude overtime shift differential, or premium pay. |
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Term
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Definition
| this is derived by dividing the total cost of the benefit or wage provision by the total productive hours worked all by employees during the year. |
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Term
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Definition
| • An employee’s general rate of pay per unit or hour, disregarding payments for items such as overtime pension benefits and bonuses. |
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Term
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Definition
| • The direct increase in the cost of benefits that results from a negotiated increase in wage rates such as social security, overtime pay and pensions. |
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Term
| social Security and unemployment insurance contributions |
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Definition
| the employers contribution is computed as a percentage of each employees wage up to a maximum annual figure. Any negotiated wage increase up to this maximum will cause a direct increase in the employer’s contribution. |
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Term
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Definition
| often the amount of life insurance coverage paid by the employer is based on the employee’s annual earnings. Therefore as annual earnings are increased the cost of the insurance automatically increases. |
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Term
| • Overtime pay and shift premium |
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Definition
| overtime compensation and shift premium are often computed as a percentage of the base wage. Thus, these also increases with the base wage. |
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Term
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Definition
| the pension benefit formula normally includes employees average annual wages. An increase in wages increases the employers funding liability for the pension. |
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