Labor Reform Act of 1977

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The Labor Reform Act of 1977 was a proposed legislative act that would have amended the National Labor Relations Act (NLRA). The bill was introduced as H.R. 8410 in the U.S. House of Representatives and after passing through the House, it entered the U.S. Senate as S. 2467. In the Senate, the Act underwent amendments before failing to pass by a mere two votes.[1]

The bill was presented as a means of streamlining the processes of and eliminating delays within the National Labor Relations Board (NLRB).[2] Opponents to the bill argued the Act would "upset what they believed to be a delicate balance in Federal policy towards labor-management relations, and was simply an effort to help unions increase their membership and bargaining power."[3]

In 1977, President Carter, in a letter to Congress, outlined what he saw were the shortfalls of the NLRB in administering the nation's labor laws.[4] President Carter noted that unnecessary delays "are the most serious problem," followed by weak remedies offered by the NLRB, which ultimately injures the worker's ability to choose whether they want union representation and "den[ies] employers the predictability they too need from the labor laws."[4]

In that same letter, President Carter declared three goals the labor law reforms were designed to meet. His labor law reforms aimed to: "make the NLRB procedures fairer, prompter, and more predictable... protect the rights of labor and management by strengthening NLRB sanctions against those who break the law..." and "preserve the integrity of the Federal contracting process by withholding federal contracts from firms that willfully violate orders from the NLRB and the courts.[4] In order to achieve these goals, President Carter suggested the following changes:

  • A shorter period of time between when elections are filed with the NLRB and when the elections are held.
  • The establishment of clear rules to define bargaining units in order to streamline NLRB procedures that are applied on a case-by-case basis.
  • Expansion of the NLRB from five to seven members.
  • Institution of a process by which the NLRB can summarily affirm decisions of administrative law judges.
  • A time limit on the option to appeal an NLRB decision.
  • A grant of power to the NLRB to order employers to compensate workers for unfair delay if the employer was found to have refused to bargain for a first contract.
  • Authorization of double back-pay to workers unlawfully discharged before the initial contract.
  • A grant of power to the NLRB to initiate debarment proceedings if an employer is found to have "willfully and repeatedly violated NLRB orders."
  • Institution of a requirement for the NLRB to seek preliminary injunctions against specified unfair labor practices like unlawful discharges.

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Arguments in Congress

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