 | The examples and perspective in this article deal primarily with Australia and do not represent a worldwide view of the subject.(December 2010) |
The service model (or servicing model) generally describes an approach whereby labour unions aim to satisfy members' demands for resolving grievances and securing benefits through methods other than direct grassroots-oriented pressure on employers. It is often contrasted to the organising model, and to rank and file organization.
In Australia, this model was encouraged through a comprehensive mechanism of centralised wage fixing and an industrial arbitration system. This system was particularly reliant on closed shops, and the ability of unions to obtain preference of employment for their members. In 1987 the Australian Council of Trade Unions (ACTU) adopted a "Future Strategies" document. The aim of this document and the underlying strategy was to encourage union rationalisation and thereby larger, more efficient unions that were more able to "service" their members' needs. This was further endorsed by the "Organisation Of Resources And Services Of The Trade Union Movement Policy" adopted in the 1991 congress. Both of these strategies were aimed at improving the delivery of services to members, which was seen as necessary to halt membership declines during this period.
The period following the 1987 congress saw significant shifts in the Australian industrial relations landscape including:
These changes made it increasingly difficult to retain union membership numbers and density by applying a purely servicing model.
Furthermore, the change that was brought about by the Workplace Relations Act 1996 curtailed the power of the Australian Industrial Relations Commission to resolve disputes by arbitration. This meant that in many cases the Australian Arbitration system was no longer available to resolve disputes, particularly where what was sought by workers was an increase in wages and conditions in excess of a centrally-fixed, minimum wage "safety net". For the first time since Australian federation industrial action was sanctioned by federal legislation in certain defined circumstances. This meant that the bargaining strength of the respective industrial parties became a primary determinant of the outcome, and their ability to organise became crucial.
At Congress 2000, the unions adopted the "21st Century Organising and Campaigning Policy" which effectively gave formal recognition to the growing need to focus on actively organising workers to encourage membership growth, or adopt an organising model. This change also reflected the need to change to succeed in a decentralised bargaining context. While there is considerable controversy amongst unions about what constitutes a servicing or organising model, most Australian union structures incorporate a combination of both strategies to varying degrees.
The distinction between servicing and organising is not unique to the Australian Union movement. The discussion between various models is also prominent in other countries such as the United States.
A trade union or labor union, often simply referred to as a union, is an organization of workers whose purpose is to maintain or improve the conditions of their employment, such as attaining better wages and benefits, improving working conditions, improving safety standards, establishing complaint procedures, developing rules governing status of employees and protecting and increasing the bargaining power of workers.
Collective bargaining is a process of negotiation between employers and a group of employees aimed at agreements to regulate working salaries, working conditions, benefits, and other aspects of workers' compensation and rights for workers. The interests of the employees are commonly presented by representatives of a trade union to which the employees belong. A collective agreement reached by these negotiations functions as a labour contract between an employer and one or more unions, and typically establishes terms regarding wage scales, working hours, training, health and safety, overtime, grievance mechanisms, and rights to participate in workplace or company affairs. Such agreements can also include 'productivity bargaining' in which workers agree to changes to working practices in return for higher pay or greater job security.
The Australian Council of Trade Unions (ACTU), originally the Australasian Council of Trade Unions, is the largest peak body representing workers in Australia. It is a national trade union centre of 46 affiliated unions and eight trades and labour councils. The ACTU is a member of the International Trade Union Confederation.
John Thomas Dunlop was an American administrator, labor economist, and educator. Dunlop was the United States Secretary of Labor between 1975 and 1976 under President Gerald Ford. He was Director of the United States Cost of Living Council from 1973 to 1974, Chairman of the United States Commission on the Future of Worker-Management Relations from 1993 to 1995, which produced the Dunlop Report in 1994. He was also arbitrator and impartial chairman of various United States labor-management committees, and a member of numerous government boards on industrial relations disputes and economic stabilization.
Australian labour law sets the rights of working people, the role of trade unions, and democracy at work, and the duties of employers, across the Commonwealth and in states. Under the Fair Work Act 2009, the Fair Work Commission creates a national minimum wage and oversees National Employment Standards for fair hours, holidays, parental leave and job security. The FWC also creates modern awards that apply to most sectors of work, numbering 150 in 2024, with minimum pay scales, and better rights for overtime, holidays, paid leave, and superannuation for a pension in retirement. Beyond this floor of rights, trade unions and employers often create enterprise bargaining agreements for better wages and conditions in their workplaces. In 2024, collective agreements covered 15% of employees, while 22% of employees were classified as "casual", meaning that they lose many protections other workers have. Australia's laws on the right to take collective action are among the most restrictive in the developed world, and Australia does not have a general law protecting workers' rights to vote and elect worker directors on corporation boards as do most other wealthy OECD countries.
The organizing model, as the term refers to trade unions, is a broad conception of how those organizations should recruit, operate, and advance the interests of their members, though the specific functions of the model are more detailed and are discussed at length below. It typically involves many full-time organizers, who work by building up confidence and strong networks and leaders within the workforce, and by confrontational campaigns involving large numbers of union members. The organizing model is strongly linked to social movement unionism and community unionism. The organizing model contributes to the discussion of how trade unions can reverse the trend of declining membership, which they are experiencing in most industrial nations, and how they can recapture some of the political power, which the labor movement has lost over the past century.
The Australasian Meat Industry Employees Union is an Australian trade union representing workers in the meat industry including in abattoirs, butchers, and smallgoods manufacturers.
The Australian labour movement began in the early 19th century and since the late 19th century has included industrial and political wings. Trade unions in Australia may be organised on the basis of craft unionism, general unionism, or industrial unionism. Almost all unions in Australia are affiliated with the Australian Council of Trade Unions (ACTU), many of which have undergone a significant process of amalgamations, especially in the late 1980s and early 1990s. The leadership and membership of unions hold and have at other times held a wide range of political views, including socialist, democratic and right-wing views.
The European Trade Union Confederation (ETUC) is the major trade union organisation representing workers at the European level. In its role as a European social partner, the ETUC works both in a consulting role with the European Commission and negotiates agreements and work programmes with European employers. It coordinates the national and sectoral policies of its affiliates on social and economic matters, particularly in the framework of the EU institutional processes, including European economic governance and the EU Semester.
UnionsWA is the peak Trades and Labour Council in Western Australia. It represents over 30 affiliated unions, which have over 150,000 members in Western Australia. The council is affiliated with the Australian Council of Trade Unions (ACTU). Since the 1980s, the UnionsWA International Committee has acted as the ACTU's representative to the Southern Initiative for Global Trade Union Rights (SIGTUR).
WorkChoices was the name given to changes made to the federal industrial relations laws in Australia by the Howard government in 2005, being amendments to the Workplace Relations Act 1996 by the Workplace Relations Amendment Act 2005, sometimes referred to as the Workplace Relations Amendment Act 2005, that came into effect on 27 March 2006.
Labor unions represent United States workers in many industries recognized under US labor law since the 1935 enactment of the National Labor Relations Act. Their activity centers on collective bargaining over wages, benefits, and working conditions for their membership, and on representing their members in disputes with management over violations of contract provisions. Larger labor unions also typically engage in lobbying activities and electioneering at the state and federal level.
Pendulum arbitration, otherwise known as final offer arbitration or baseball arbitration, is a type of interest arbitration in which the arbitrator chooses one of the parties' proposals on each disputed issues. For example, in the case of labor collective bargaining, a trade union may demand a wage increase of 7% and the management may offer 3%. The arbitrator's decision has to choose between awarding a 3% or a 7% increase. This procedure is opposed to conventional interest arbitration, in which the parties present evidence and the arbitrator acts as fact-finder and crafts an award. In disputes over labor contracts, this dispute resolution procedure is known to be a common type of contract arbitration. Perhaps the most well-known instance is salary arbitration in Major League Baseball, where a certain class of players may elect to arbitrate their salary instead of accepting their team's salary offer. Final-offer arbitration is widely used to determine public union contracts in the United States, either as a substitute for collective bargaining or as a mechanism to determine the contract when bargaining has failed.
The Prices and Incomes Accord was a series of agreements between the Australian Labor Party (ALP) and the Australian Council of Trade Unions (ACTU), in effect from 1983 to 1996. Central to these agreements was an incomes policy to address the stagflation crisis by restraining wages. The unions agreed to restrict their wage demands, and in exchange, the government provided a 'social wage' of welfare and tax cuts.
George W. Taylor was a professor of industrial relations at the Wharton School at the University of Pennsylvania, and is credited with founding the academic field of study known as industrial relations. He served in several capacities in the federal government, most notably as a mediator and arbitrator. During his career, Taylor settled more than 2,000 strikes.
Edward Grayndler was an Australian trade unionist and politician. He served as general secretary of the Australian Workers' Union (AWU) from 1912 to 1941, the longest term in the union's history.
The Court of Arbitration was the first court in New South Wales, Australia, which dealt exclusively with industrial relations disputes in the early twentieth century. Justice Lance Wright claims that it perhaps was the first court of its type in the world. The court was unique at that time as it was the first court of its type to deal with labour relations between employer and employees on a compulsory basis. Previous arbitration measures between employer and employee had been on a voluntary basis or had been based on the criminal justice system through the use of criminal penalties. The conventional economic model is that both employer and employee enjoy equal bargaining power to set wages and conditions. This asserts that both parties are able to agree on a fair market price for the cost of labour free from distortions. However, where employers or employees group together, these outcomes can be distorted particularly in “boom” or “bust” economic conditions. The purpose of the court was to change the manner in which employers and employees negotiated pay and conditions. It was an attempt to reduce the power imbalances between employer groups or employee unions that arose from using collective bargaining, and the resulting use of that market power to influence wages, and also to reduce the threat of lockout or strikes to achieve those ends.
The Fair Work Act 2009(Cth) is an Act of the Parliament of Australia, passed by the Rudd government to reform the industrial relations system of Australia. Replacing the Howard government's WorkChoices legislation, the Act established Fair Work Australia, later renamed the Fair Work Commission.
The International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART) is a North American labor union headquartered in Washington, DC, which was chartered by the AFL–CIO in 2013. The product of a merger between the Sheet Metal Workers’ International Association (SMWIA) and the United Transportation Union (UTU), SMART represents over 210,000 sheet metal workers, service technicians, bus operators, engineers, conductors, sign workers, welders, and production employees, among others, throughout the United States, Puerto Rico, and Canada. The Transportation Division represents employees on Class I railroad, Amtrak, and regional and short line railroads; bus and mass transit employees on some 45 transit systems; and airline pilots, flight attendants, dispatchers and other airport personnel. The Division's 500 local unions organize conductors, brakemen, switch men, ground service personnel, locomotive engineers, hostlers, and railroad yard masters, as well as bus drivers and mechanics.
The Food Preservers' Union of Australia (FPUA) was an Australian trade union which existed between 1898 and 1992. It represented a broad range of production workers in the food processing industry, including many female members.
