The House has passed a bill aimed at breaking the logjam of first contracts after a union election, sending it to the Senate for consideration.
Faster Labor Contracts Act Approved
The US House of Representatives approved the Faster Labor Contracts Act by a vote of 230-193, with 20 Republicans joining Democrats. The legislation is designed to expedite the process of reaching a first contract after a union election.
Key Provisions
The bill establishes a strict timeline for contract negotiations:
- Immediate Start: Employers must begin contract negotiations within 10 days of a union certification.
- Mediation Trigger: If no agreement is reached after 90 days, either party may request mediation from the Federal Mediation and Conciliation Service.
- Binding Arbitration: If still no agreement after an additional 30 days, a three-member arbitration panel will impose a binding contract for two years (or until the parties agree otherwise).
- Arbitration Guidelines: The panel must consider the employer's financial status, employees' cost of living, and comparable wages and benefits.
Support and Opposition
Supporters argue the bill is a necessary fix for a broken system. Sponsor Rep. Donald Norcross (D-NJ) stated the bill ensures workers can get a contract after a union election. Sean O'Brien, Teamsters General President, called it a consequential labor bill that holds corporations accountable.
Opponents, including the CHRO Association, described it as government overreach and "draconian." Gregory Hoff, the association's general counsel, argued that government arbitrators may not understand workplace-specific issues and noted the Federal Mediation and Conciliation Service is understaffed.
Procedural Path
The bill reached the House floor via a discharge petition, with seven Republicans signing it. It now moves to the Senate, where it has support from some Republicans, including Sen. Josh Hawley (R-MO).
Background
The average time to reach a first contract is 465 days, according to Bloomberg Law.
Some high-profile workers are still waiting for a contract years after unionizing. Starbucks baristas in Buffalo unionized in late 2021, and Amazon warehouse workers in Staten Island unionized in spring 2022—neither group has yet obtained a contract. The bill replicates a provision of the broader PRO Act.