What role do labor unions play in the workplace?

Labor unions represent employees in negotiations with employers over wages, working conditions, discipline, schedules, benefits and other employment terms. Their role is to provide collective strength for workers, advocate for fairness and ensure employees have a formal voice in the workplace. 

Unions may participate in: 

• Collective bargaining 
• Grievance procedures 
• Contract enforcement 
• Workplace safety advocacy 
• Discussions around organizational change 

For employers, understanding union roles and obligations is critical. Even in non-union workplaces, employees have the legal right to discuss working conditions, organize and act collectively.

HR teams must be prepared to respond appropriately, communicate clearly and respect protected employee rights throughout the process. 

Understanding the National Labor Relations Act (NLRA)

The National Labor Relations Act (NLRA) is the foundation of United States labor law. It protects employees’ rights to organize, join a union, bargain collectively and engage in other concerted activities related to working conditions or to abstain from any of these activities. It also prohibits employers and unions from engaging in unfair labor practices such as retaliation, surveillance, interference or discrimination based on union activity.

The National Labor Relations Board (NLRB) enforces the NLRA, conducts union elections and investigates alleged unfair labor practices. Employers must understand how the Act affects and applies to workplace policies, disciplinary decisions, communications and daily interactions with employees. HR teams should review rules around social media, confidentiality, solicitation and employee conduct to ensure policies do not unintentionally restrict protected rights. A good understanding of the NLRA helps organizations support employee rights and reduces legal risks.

The importance of labor law compliance

Labor law compliance is crucial for several reasons and strongly impacts labor relations. Firstly, it ensures that employers adhere to the legal standards governing the interactions between management and employees, especially in unionized settings. This includes protecting employee rights to organize, engage in collective bargaining and participate in permissible union and collective activities without fear of retaliation.

Compliance helps organizations avoid legal liabilities and penalties that can result from violations of the NLRA and state labor laws. Furthermore, it fosters a fair bargaining environment, which can enhance labor-management relations and minimize workplace disputes.

Proactive compliance with labor laws also improves workplace stability. Putting in place clear policies, maintaining documented processes and ensuring well-trained managers and employees acting as union representatives (e.g., shop stewards) supports consistent decision-making and reduces legal risk. . Staying aligned with NLRB guidelines and expectations helps organizations address union and employee concerns confidently and maintain constructive working relationships. 

Compliance with labor law is essential for protecting employee rights and preventing costly legal liability . Noncompliance can lead to investigations, orders to remedy violations, financial penalties and reputational damage. 

Employers must carefully abide by rules governing workplace protections from unfair labor practices, organizing activity, union communications and collective bargaining procedures. In addition to complying with the NLRA, employers must also ensure compliance with any state labor laws, keeping in mind that federal law will pre-empt if a state law conflicts with federal law..

Diligent compliance with labor laws not only mitigates risks but also promotes positive labor-management relations and promotes a a positive organizational culture.