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Little-Noticed Feature Of 'Card Check' Bill Gives Unions Edge In Binding Arbitration

By now, many people know that the so-called Employee Free Choice Act — also known as "card check" — would strip workers of the protection of a secret-ballot vote in union organizing elections.

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What most people don't realize is that the card check bill would also give the federal government the power to set wages, benefits and work rules for employers in a wide variety of industries throughout the economy.

Under this bill, once a union is formed, employers would be under a strict deadline to reach an agreement on all of the union's demands. If no agreement is reached after just 120 days, the matter would go to a federal arbitration panel, which would then write and hand down the union contract. That contract would bind both parties for two years with the same force as if it had been agreed to through full and fair negotiations.

For the first time, a federal authority would set private-sector wages, specific work rules and other workplace restrictions, including forcing employees into underfunded and unsustainable pension plans.

The practical result of this radical change would be to incentivize unions to take extreme positions in collective bargaining and then stonewall, expecting the government arbitration panel to at least "split the difference" on their list of demands. Once the government has stepped in, the employer would lose all control of the workplace.

This would also create an opportunity for unions to force provisions into contracts that they could never get at the bargaining table, such as productivity-killing work rules, union approval of restructuring and restrictions on the use of new technologies at the workplace.

It's not labor law reform to permit government arbitrators who don't know the business or the employees or the market to write labor contracts — it's a prescription for disaster.

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