Deck 6: Negotiating the Labor Agreement

Question 1

In some cases a specific, single action by an employer constitutes an unfair labor practice in bargaining.

Answer 1

True

Question 2

Where there is substantial continuity in a unionized firm's operation after transfer of ownership occurs, the purchaser of the business would be classified as a new employer for the purpose of determining the employer's legal duty to bargain.

Answer 2

False

Question 3

Management would probably prefer centralized bargaining if it had three separate manufacturing facilities (bargaining units), each making the same product.

Answer 3

False

Question 4

Any failure to reach an agreement on contract language concerning a mandatory bargaining subject represents a violation of the duty to bargain in good faith.

Question 5

The proportion of an employer's total operating costs comprised of labor costs is termed the union density level.

Question 6

Smaller-sized (less than 10 individuals) bargaining teams are generally preferable to larger bargaining teams to enhance bargaining effectiveness.

Question 7

Auto industry contract negotiations in 2007 represent an example of pattern bargaining.

Question 8

A party's resistance point on a bargaining issue represents that point beyond which that party would prefer no settlement to settlement on unacceptable terms.

Question 9

It is unlawful for an employer to refuse to comply with a union's request to furnish information held by the employer which is relevant and necessary for the union to represent bargaining unit members in contract negotiations or grievance handling duties.

Question 10

Bargaining power is more likely to be an important determinant of negotiated outcomes when the parties use a distributive bargaining approach or strategy.

Question 11

Generally, high unemployment reduces the union's cost of disagreeing with management.

Question 12

Possible government intervention in a labor dispute is a factor which could alter a union's or management's perception of their relative bargaining power in that labor dispute.

Question 13

In labor negotiations, it is possible for both union and management negotiators to perceive they have been successful after completing contract negotiations.

Question 14

Unions do not place upper limits on their bargaining ranges because they maintain, "nothing ventured, nothing gained."

Question 15

When a distributive bargaining approach is used to negotiate labor contract terms, the same party always wins (gains more) on every bargaining issue.

Question 16

Profit sharing represents a mandatory subject of bargaining.

Question 17

A dispute between union and management negotiators over what the terms and conditions of employment will be is termed an interest dispute.

Question 18

Approaching the bargaining process as a mutual problem-solving exercise is a characteristic of distributive bargaining.

Question 19

"Voluntary" (also called permissive or non-mandatory) issues must be bargained over but agreement does not have to be reached.

Question 20

Centralized (multi-employer) bargaining is frequently found in the construction, coal, and trucking industries.

Question 21

Contract negotiations can result in which of the following outcomes?

A) a lock-in by the union to force management into a contract settlement
B) decertification of the union as the employees' bargaining representative
C) a voluntarily negotiated contract settlement
D) a lock-in by management to force the union into a contract settlement
E) all of these

Question 22

The minimum yearly cost of a one-cent-per-hour wage increase at a facility of 1,000 employees is:

A) $1,000.
B) $10,400.
C) $20,800.
D) $202,400
E) approximately $300,000.

Question 23

A lock-in agreement:

A) is an agreement between unions.
B) requires each union-represented bargaining unit covered by the agreement not to reach a final contract settlement until all unions covered by the agreement are willing to settle.
C) forces the employer to address the concerns of all bargaining units at the same time.
D) has been ruled unlawful by the NLRB.
E) all of these

Question 24

In the Chamberlain and Kuhn bargaining power model, one party's bargaining power can be conceptualized as equal to the other party's cost of _____ the proposed settlement terms divided by their cost of _____ to such terms.

A) disagreeing with; agreeing
B) agreeing with; disagreeing
C) seeking to arbitrate; seeking to mediate
D) seeking to mediate; seeking to arbitrate
E) agreeing with; seeking to arbitrate

Question 25

In anticipating union bargaining proposals, management can consider:

A) recent contract settlements negotiated by the company's competitors.
B) the proceedings of the national union's convention.
C) collective bargaining agreements negotiated by other firms in the same geographical region.
D) all of these
E) none of these

Question 26

Bargaining power is more likely to be an important determinant of negotiated outcomes in which one of the following types of bargaining?

A) mutual gain bargaining
B) distributive bargaining
C) intraorganizational bargaining
D) interest-based bargaining
E) win-win bargaining

Question 27

"Mandatory" subjects of bargaining:

A) must be negotiated until agreement is reached if one party raises the issue.
B) must be negotiated if one party raises the issue.
C) do not have to be negotiated if one party raises the issue.
D) mandates that a federal mediator will resolve the differences between the parties if they can't reach agreement on one or more bargaining subjects.
E) mandates that a federal mediator must approve the agreement.

Question 28

One party is willing to meet at length and confer but merely goes through the motions of bargaining. Proposals are made that cannot be accepted, an inflexible attitude on major issues is taken, and no alternative proposals are offered. This scenario best describes:

A) dilatory tactics.
B) bypassing the representative.
C) imposing conditions.
D) surface bargaining.
E) intraorganizational bargaining.

Question 29

Which one of the following would not be a characteristic of a distributive bargaining approach?

A) a focus on cost/benefit analysis to determine the acceptability of contract proposals
B) a focus on maximizing your own party's interests
C) an attempt to structure communication patterns during negotiations to maintain focus on your own party's proposals
D) an effort to identify multiple alternatives capable of achieving a mutually satisfactory bargaining outcome rather than focusing on narrowing the gap between each party's established position on issues in dispute
E) none of these are characteristics of a distributive bargaining approach

Question 30

Mutual gain bargaining is also referred to as:

A) interest-based bargaining.
B) distributive bargaining.
C) good-faith bargaining.
D) intraorganizational bargaining.
E) voluntary bargaining.

Question 31

When would management officials probably prefer centralized (multi-plant) bargaining?

A) when the products at each plant are independent of each other (Plant A's product is not necessary to produce Plant B's product).
B) when the products at each plant are interdependent (Plant A's product is necessary for Plant B's product).
C) when both plants' products are labor intensive
D) when neither plants' products are labor intensive
E) when both plants' products are independent and labor intensive

Question 32

The point (terms) beyond which a bargaining party would prefer no settlement to settlement on the other party's less favorable proposed terms is termed that party's:

A) termination point.
B) end point.
C) preference point.
D) resistance point.
E) break-even point.

Question 33

Under the bargaining power model, when is the union's bargaining power increased?

A) it costs more for management to agree than to disagree with the union
B) it costs more for management to disagree than agree with the union
C) it costs more for the union to agree than disagree with management
D) it costs less for the union to agree than disagree with management
E) it costs less for management to disagree than to agree with the union

Question 34

Which one of the following are mandatory bargaining subject?

A) job promotion criteria
B) profit sharing plan
C) amount of employee discount on the purchase of company products or services
D) all of these
E) none of these

Question 35

Which of the following does not pertain to successor (new) employer bargaining obligations?

A) the degree of change in the firm's operation brought about by new ownership
B) the desire of the owner to operate on a nonunion basis
C) whether most employees remain the same after the ownership change
D) whether the firm remains in the same location after the ownership change
E) all of these pertain to successor (new) employer bargaining obligations

Question 36

The labor relations term for the increase in employee benefit costs that automatically occurs as the result of an increase in an employee's straight-time hourly wage rate is the:

A) acceleration factor.
B) magnifier effect.
C) booster effect.
D) roll-up factor.
E) progressive cost factor.

Question 37

Which one of the following bargaining tactics would be least likely to be used by either union or management negotiators because of the high credibility risks involved?

A) deliberate deception or falsification of information
B) attempting to appear more firmly committed to one's bargaining position than they are
C) painting a picture of the economic loss to the other side
D) imposing time pressure (e.g., strike deadline, proposal acceptance deadline)
E) taking a recess during a negotiation meeting

Question 38

If an employer claims an inability to pay for a union's bargaining proposal, the union is entitled:

A) to file an unfair labor practice against management's refusal to bargaining in good faith.
B) to receive stock options equal to the dollar amount the employer claims it is unable to pay.
C) access to company financial information necessary to validate the employer's inability to pay claim.
D) to the same percentage wage and benefit increase planned for managerial employees.
E) to declare a bad-faith bargaining impasse.

Question 39

Which one of the following should not be a relevant consideration when selecting members for a management negotiating team?

A) perceived need for an individual's skills and abilities
B) whether the individual occupies a line or staff managerial position within the firm
C) political considerations
D) desired size of the bargaining team (i.e., number of team members)
E) all of these are relevant to consider when selecting members for a management negotiating team

Question 40

The labor relations term used to describe activities engaged in by union and management negotiators to achieve consensus on bargaining goals, strategies, or proposed settlement terms within their own bargaining team is:

A) centralized bargaining.
B) intra-organizational bargaining.
C) interdependent bargaining.
D) intensity bargaining.
E) mutual-gain bargaining.