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Labor: The effort people devote to

tasks for which they are paid.
Unit 2 Section 1
How is the Labor forced tracked?
• The Bureau of Labor Statistics (LBS) keeps track
of the labor force.
• Labor Force: All non-military people who are
employed or unemployed.
– Have worked at least 1 hour for pay in the last week
– Have worked 15 or more hours without pay in a family
business such as a farm or a family owned store.
– Have held job but are not working because of illnesses
vacations, labor disputes, or bad weather.
• People are only
counted as
unemployed if:
– They are
temporarily without
Current Unemployment Rate in
work the U.S: 4.1%
– They are not
working but have
looked for jobs
within the last 4
Checking for Understanding
• Explain the following concepts in your own
– Labor
– Labor Force
– Unemployment
Service vs. Goods
Skill Level
• Unskilled Labor
– Work that requires no special skills education or
• Semiskilled Labor
– Work that requires some training and education
• Skilled Labor
– Work that requires special skills and training
• Professional Labor
– Work that requires advanced skills and education.
Learning Effect
• The idea that education increases the efficiency of production
and results in higher wages.
Checking for Understanding
• Explain the Learning Effect
• Give me one job for each skill level.
– Unskilled Labor
– Semi-Skilled Labor
– Skilled Labor
– Professional Labor
Minimum Wage
Employers must pay at least the minimum wage, which is:
– For businesses with 26 or more employees: $11.00/hour in2018.
– For businesses with 25 or fewer employees: $10.50/hour in
2018. Higher in some cities and counties.
• If you are paid by the piece or unit (sometimes called “by contract”)
or paid by the day or week, your wages still must equal at least
minimum wage for all the hours you worked.
• Tips are separate and cannot be counted as part of the minimum
• A few types of employees do not have to be paid minimum wage,
including outside salespersons, close family members and camp
Pay Overtime
• Equal to 1⁄2 times the regular rate of pay:
• For most occupations, all hours over 8 in one day
or over 40 in one week, and for the first eight
hours of work on the seventh day of work in a
• For personal attendants, all hours over 9 in one
day or over 45 in one week
• For farm workers, all hours over 10 in one day or
over 60 in one week, and for the first eight hours
of work on the seventh day of work in a
Safety at Work
1. Make sure the workplace is safe by identifying health and safety hazards
and correcting them.
2. Have a written health and safety plan. This is sometimes called an Injury
and Illness Prevention Program.
3. Tell you about workplace hazards and train you how to work safely. The
training must be presented in a way that you understand.
4. Have Workers’ Compensation insurance and pay for medical care for
work- related injuries and illnesses.
5. Keep track of all workplace injuries and illnesses that require more
treatment than first aid. Certain employers must keep a log of injuries and
illnesses and post a summary from February to April.
6. Post the Cal/OSHA poster, Safety and Health Protection on the Job, in a
place where everyone can see.
7. Call Cal/OSHA right away when an employee is killed or seriously injured
on the job.
Injured at Work
• Ask for medical help right away. If it’s an
emergency, call 911 or go straight to an emergency
• Tell your employer. Your employer must give
you a claim form within one working day after
hearing about your injury.
• Get help and information from the Division of
Workers’ Compensation at 1-800-736-7401.
• If your employer refuses to give you a claim form or
threatens or discriminates against you because you
are injured or made a job injury claim, you may
wish to see an attorney.
Checking for Understanding
• What is the Minimum Wage in California?
• What is overtime?
• Who do you call if you get injured?
The Role of Labor Unions
• Labor Relations
– The relationship between organized labor and
management (in its role as the representative of
company ownership)

• Labor Unions
– Organizations that represent employees in
negotiations with management

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Education, Inc.
Unionization: Employee’s Perspective
• Higher compensation
• Greater benefits
• Influence over hiring, promotions, and layoffs
• Working conditions and workplace safety
• Formal processes for employee grievances,
discipline, and other matters
• Solidarity and recognition

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Major Pieces of Labor
Exhibit 12.2
Relations Legislation

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Unionization in Historical Perspective
• National Labor Relations Act
– Legislation passed in 1935 that established labor
relations policies and procedures for most sectors
of private industry; commonly known as the
Wagner Act

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Unionization in Historical Perspective
• Labor-Management Relations Act
– Legislation passed in 1947 that addressed many
concerns raised by business owners and shifted the
balance of power again

– Commonly known as the Taft-Hartley Act

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The Organizing Process
• Right-to-Work Laws
– State laws that prohibit union and agency shops
– The law prevents unions in that state from
requiring workers to pay dues in exchange for the
union's representation

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Exhibit 12.3 Right-to-Work States

The Union Organizing
Exhibit 12.4

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The Collective Bargaining Process
• Collective Bargaining
– A negotiation between union and management
negotiators to forge the human resources policies
that will apply to all employees covered by a
• Collective Bargaining Agreements (CBAs)
– Contracts that result from collective bargaining

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Checking for Understanding
• What is a Union?
• What is Collective Bargaining?
• What are Right to Work Laws?
The Collective
Exhibit 12.5
Bargaining Process

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Negotiating an Agreement
• Mediation
– Use of an impartial third party to help resolve
bargaining impasses

• Arbitration
– A decision process in which an impartial referee
listens to both sides and then makes a judgment by
accepting one side’s view

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When Negotiations Break Down:
Exhibit 12.6 Labor and Management Options

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Labor Options
• Strike
– A temporary work stoppage aimed at forcing
management to accept union demands

• Boycott
– A pressure action by union members and
sympathizers who refuse to buy or handle the
product of a target company

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Management’s Options
• Strikebreakers
– Nonunion workers hired to do the jobs of striking

• Lockout
– A decision by management to prevent union
employees from entering the workplace
– used to pressure the union to accept a contract
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Exit Ticket
• In YOW explain the following
– Labor
– Labor Force
– Learning Effect
Chapter 9 Section 1
PG 217-225
Questions 1-10