Английский язык для экономистов


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Unit 1

LABOR RELATIONS

A. Preliminary discussion

  1. What are labor or trade unions?

  2. How do unions influence the economy?

  3. Do they increase or diminish economic efficiency?
B. Pre-reading exercises
B.1 Skim the text and give its key idea.

B.2 Scan the text for the following information.

  1. What is collective bargaining?

  2. Collective bargaining agreements typically cover several topics. What are they?

  3. When does collective bargaining on a new contract begin?
C. Reading

C.1 Read the text and answer the questions.

  1. How do closed and open shops differ?

  2. What contract issues are addressed in the bargaining process?

  3. Why have workers become “job conscious”?

  4. How does the bargaining process occur?

COLLECTIVE BARGAINING


C.R. McConnell, S.L. Brue

Despite the decline of unionism, collective bargain­ing—the negotiation of labor contracts—remains an important feature of labor-management relations. The goal of collective bargaining is to establish a “work agreement” between the firm and the union.

The Work Agreement

Collective bargaining agreements (contracts) assume many forms. Some contracts are brief, taking up only 2 or 3 pages; others are lengthy and highly detailed, requiring 200 or 300 pages of print. Some agreements involve only a local union and a single plant; others set wages, hours, and working conditions for entire industries.

Typically, however, collective bargaining agree­ments cover several topics.

Union Status and Managerial Prerogatives As for union status, the closed shop affords the union the greatest security. In a closed shop, a worker must be (or become) a member of the union before being hired. Under Federal labor law, such shops are illegal in industries other than transportation and construc­tion. In contrast, a union shop permits the employer to hire nonunion workers but provides that these workers must join the union within a specified period, say, 30 days, or relinquish their jobs. An agency shop requires nonunion workers to pay union dues or do­nate an equivalent amount to charity. Union and agency shops are legal, except in the 20 states which expressly prohibit them through so-called right-to-work laws. In the open shop, an employer may hire union or nonunion workers. Those who are nonunion are not obligated to join the union or pay union dues; they may continue on their jobs indefinitely as nonunion workers. Nevertheless, the wage, hours, and working conditions set forth in the work agree­ment apply to the nonunion workers as well as the union workers.

The management side of the union-status issue is managerial prerogatives. Most work agreements contain clauses outlining certain decisions reserved solely for management. These prerogatives usually cover such matters as size and location of plants, products to be manufactured, types of equipment and materials to be used in production and in production scheduling.

Wages and Hours The focal point of any bar­gaining agreement is wages and hours. Both labor and management press for the advantage in wage bar­gaining. The arguments which unions use most fre­quently in demanding (and by the firm in resisting) wage boosts are (I) “what others are getting,” (2) the employer’s ability to pay, based on its profitability, (3) increases in the cost of living, and (4) increases in la­bor productivity. In some cases, unions achieve suc­cess in tying wages to the cost of living through cost-of-living adjustment (COLA) clauses.

Hours of work, voluntary versus mandatory over­time, holiday and vacation provisions, profit shar­ing, and fringe benefits—health plans and pension benefits—are other contract issues which must be ad­dressed in the bargaining process.

Seniority and Job Protection The uncertainly of employment in a market economy, along with the fear of antiunion discrimination on the part of employers, has made workers and their unions “job conscious.’ The explicit and detailed provisions covering job op­portunities which most agreements contain reflect this concern. Unions stress seniority (length of ser­vice) as the basis for worker promotion and for layoff and recall. They want the worker with the longest continuous service to have the first chance at relevant promotions, be the last one laid off, and be the first one recalled from layoff.

In recent years, unions have become increasingly sensitive to losing jobs to nonunion subcontractors and to overseas workers. Unions sometimes seek lim­its on the firm’s ability to subcontract out work or to relocate production facilities overseas.

Grievance Procedures Even the most detailed and comprehensive work agreement cannot spell out all the specific issues and problems which might oc­cur during its life. For example, suppose that Nelson gets reassigned to a less pleasant job. Was this reas­signment for legitimate business reasons or, as Nelson suspects, because of a personality conflict with a par­ticular manager? Labor contracts contain grievance procedures to resolve such matters.

The Bargaining Process

The date for the beginning of collective bargaining on a new contract is usually set in the existing con­tract and is usually 60 days before the current one ex­pires. The union normally takes the initiative, pre­senting its demands in the form of specific wage, fringe-benefit, and other adjustments to the present union-management contract. The firm counters with an offer relating to these and other contract provi­sions. It is not unusual for the original union demand and the first offer by the firm to be far apart, not only because of the parties’ conflicting interests but also because the parties know they are obligated by law to bargain in good faith. The initial “large demand-low offer situation” leaves plenty of room for compromise during the negotiations.

The negotiating then begins in earnest on items in dispute. Hanging over the negotiations is the deadline, which occurs the moment the present contract expires. At that time there is a possibility of a strike— a “work stoppage” by the union—if it thinks its de­mands are not satisfactorily met. But there is also the possibility that at that time the firm may engage in a lockout, in which it forbids the workers to return to work until a new contract is signed. In this setting of uncertainty prior to the deadline, both parties feel pressure to find mutually acceptable terms.

Although bluster and bickering often occur in col­lective bargaining, labor and management display a remarkable capacity for compromise and agreement. Typically they reach a compromise solution which is written into a new contract. Nevertheless, strikes and lockouts occasionally do occur. When they happen, workers lose income and firms lose profit. To stem their losses, both parties look for and usually eventu­ally find ways to settle the labor dispute and get the workers back to work.

Bargaining, strikes, and lockouts occur within a framework of Federal labor law, specifically the National Labor Relations Act (NLRA). This act was first passed as the Wagner Act of 1935 and later amended by the Taft-Hartley Act of 1947 and the Landrum-Griffin Act of 1959. The act sets forth the dos and don’ts of union and management labor prac­tices. For example, while union members can picket in front of a firm’s business, they cannot block access to the business by customers, co-workers, or strike­breakers hired by the firm. As a second example, firms cannot refuse to meet and talk with the union’s des­ignated representatives.

C.2 Decide whether these statements are True (T) or False (F).

  1. A union shop affords the union the greatest security.

  2. Union and agency shops are illegal in 20 states.

  3. Nonunion workers cannot exercise their rights set forth in the work agreement.

  4. The bargaining process usually begins within two months before the expiration of the current contract.

  5. Both parties are pressed to find mutually acceptable terms prior to the deadline.
D. Vocabulary

D.1 Learn the vocabulary and make up your own sentences.

collective bargaining – the discussion held between an employer and trade unions in order to reach an agreement on wages and working conditions

prerogative (n) a special right belonging to a particular person, especially because of the official position they hold

closed shop – a place of work where only members of a particular trade union are employed

relinquish (v)to give up

dues (n, plural) regular payments made to an organization such as professional association or trade union by its members

set forth (phr v) - to formulate one’s demands, to settle one’s requirements in definite terms

cost-of-living adjustment – in the US, a small increase in someone’s pay or pension, made to cover increases in the cost of living

voluntary (adj) acting or done willingly, without being forced

mandatory (adj) which must be done

fringe benefits – advantage or service given with a job besides wages (company cars, and loans at low rates of interest)

explicit (adj) clear and fully expressed

provision (n) – a part of a law, contract, agreement etc that relates to a particular subject

layoff (n)– the act of stopping a worker’s employment because there is not enough work for them to do

recall (n) – the act of officially telling someone to come back

grievance procedure – the system that a company has to discuss workers’ complaints

spell out (phr v) – to explain in the clearest or most detailed way

expire (v) – to come to an end; run out

counter (v) – to move or act in order to oppose or defend yourself against something

in earnest – seriously; in a determined way

lockout (n) – a situation in which people are prevented from entering their place of work until they have agreed to accept conditions set down by their employers

bluster (n) – noisy or boastful talk

bickering (n) – quarrelling, especially about important matters

stem (v) – to stop

strike-breaker – a person who takes the job of someone else who is on strike

designated (adj) chosen or named for a particular job or purpose

D.2 Give English equivalents to the following words and expressions.

  1. отказываться

  2. добросовестно

  3. поправка на рост прожиточного минимума

  4. назначенный

  5. увольнение из-за отсутствия работы

  6. обязательный, принудительный

  7. разъяснять, растолковывать

  8. предприятие, принимающее на работу только членов профсоюза

  9. процедура разрешения трудовых споров

  10. положение, условие (закона, договора, соглашения)

D.3 Choose an appropriate word or expression from the box to complete the following sentences.

fringe benefits in earnest prerogative countered

voluntary strike-breakers stem

  1. It is the … of management to decide what products should be manufactured.

  2. If strikes and lockouts occur labor and management usually try to reach a compromise solution to … their losses.

  3. Such contract issue as … overtime must be addressed in the bargaining process

  4. A competitive salary with … will be offered to all workers.

  5. During the strike, the management successfully employed … .

  6. The unions were accused of illegal actions, but they … with the claim that the situation was disastrous.

  7. The two parties can finally start negotiating … about issues of mutual concern.

D.4 Give synonyms for the italicized words in each sentence below, or briefly explain their meaning.
  1. The wage, hours, and working conditions set forth in the work agree­ment apply to the nonunion workers as well as the union workers.


  2. Unions stress seniority (length of ser­vice) as the basis for worker promotion and for layoff and recall.

  3. The date for the beginning of collective bargaining on a new contract is usually set in the existing con­tract and is usually 60 days before the current one expires.

  4. There is also the possibility that at that time the firm may engage in a lockout.

  5. Although bluster and bickering often occur in col­lective bargaining, labor and management display a remarkable capacity for compromise and agreement.

E. Make a summary of the text.

F. Grammar notes

The Infinitive

§ 1. The bare infinitive

The base form of a verb (go) often functions as an infinitive. It is called the bare infinitive because it is used without to. We must distinguish it from the to-infinitive, where to is always used in front of the base form of the verb.

§ 2. Forms of the infinitive




active

passive

present infinitive

(to) ask

(to) be asked

present progressive infinitive

(to) be asking

-

perfect or past infinitive

(to) have asked

(to) have been asked

perfect/past progressive infinitive

(to) have been asking

-

Passive Present Progressive and Perfect Progressive infinitives are rarely used.

The Present Infinitive refers to the present or future. We plan to reduce our energy consumption in the New Year. The present Progressive Infinitive expresses an action happening now. We appear to be making very good progress. The Perfect Infinitive is used to show that the action of the infinitive happened before the action of the verb. The problem seems to have occurred during the night. The Perfect Progressive Infinitive is used to emphasize the duration of the action of the infinitive, which happened before the action of the main verb. He looks tired. He seems to have been working all night.

§ 3. The ‘to-infinitive’ is used

  • To express purpose. He went to university to become a manager.

  • After certain verbs (agree, appear, decide, expect, hope, plan, promise, refuse etc). She refused to pay the bill.

  • After certain adjectives (happy, glad, sorry etc). We were happy to open a new store.

  • After I would like/would love/ would prefer to express specific preference. I’d like to see the manager.

  • After certain nouns. What a surprise to see you here! Our decision to wait was wise. It was her wish to help us.

  • After too/ enough constructions. We’ve got enough money to pay the rent.

  • With: it + be + adjective (+ of + noun/ pronoun). It was generous of him to offer $1000.

  • With: so + adjective + as. Would you be so kind as to help me?

  • With ‘only’ to express an unsatisfactory result. She came in only to find the manager had left.

  • After: be + the first/ second/etc/next/last/best etc. He is always the last to come to work.

  • In the expression: for + noun/pronoun + to-infinitive. For him to be so rude was unforgivable.

  • In expressions such as: to tell you the truth, to begin with, to be honest etc. To tell you the truth, this company has a very stable position in the market.

  • After: verb + how/what/when/where/which/why. I didn’t know how to explain my absence.

§ 4. The bare infinitive is used

  • After: most modal verbs (can, must, will etc). The meeting will be held at 2.

  • After: had better/would rather/would sooner. You’d better call our distributors at once.

  • After: make/let/see/hear/ feel + object. They made him pay for the damage. But: in the passive: be made/ be heard/ be seen + to infinitive. He was made to pay for the damage.

  • Know’ and ‘help’ are followed by a to-infinitive or bare infinitive. Could you help me (to) fill in this form? But: in the passive: be known, be helped + to infinitive. This company is known to be reliable.

§ 5. The negative

We form the negative of a to-infinitive by putting not before to. I soon learned not to conflict with the manager.

§ 6. We use the infinitive:

  • As the subject of a verb. To advertise in magazines is very expensive.

  • As the object of a verb. Both parties have decided to postpone the strike until a later date.

  • As the complement of ‘be’. Your mistake was not to write that letter.

§ 7. The split infinitive

‘Splitting an infinitive’ is usually considered unacceptable and should generally be avoided. I want you to understand that clearly. However, we often do separate to from the infinitive in spoken English, depending on where the emphasis falls: I want you to clearly understand what I’m telling you. This often the case with adverbs like: completely, fully, really, truly.

§8. Verb + object + infinitive

When the subject of the infinitive form is different from the subject of the verb, then an object pronoun (me, you, him, her, it, us, them) or a noun is placed before the infinitive form. I want him/John to help me. (=He should help me.) but: I want to help. (=I should help.)

  • Verb + object + bare infinitive is used after: see / watch / observe / notice / hear / feel. I saw her enter the room.

  • Verb + object + to-infinitive is used after: want / wish / desire / would like / like / hate. He wishes the work to be done properly.

  • Verb + object + to be is used after: expect / think / believe / suppose / consider / find / know / declare. I consider him ( to be) a clever man.

  • Verb + object + passive infinitive is used after: order / command / ask for / allow. The manager ordered the cargo (to be) insured. He asked for the cases (to be) loaded today.

  • Verb + preposition + object + to-infinitive is used after: rely on / count upon / wait for. I rely on you to do it in time.

§9. Verb in the Passive + to-infinitive is used after: advise / allow / ask / believe / consider / expect / feel / find / force / hear / invite / know / report / say / see / suppose / teach / tell / think / trust etc. He is said to be planning a new campaign. The goods are reported to have been dispatched. I was told not to touch the switch.

F.1 Identify all the infinitive forms in the text “Collective Bargaining” and translate the sentences into Russian.

F.2 Choose an appropriate verb from the box to complete the spaces in the article. The first has been done for you.

negotiate take place go deal act be dispersed

drop hand ignore negotiate award ignore field

Owners can’t ignore union

NEW YORK (CNN money) One of the most influential figures in modern professional sports says he fully expects baseball 1) to field 30 teams next year, and not 2) … ahead with plans announced this week 3) … two teams.

“I say it as an illustration of again how foolishly the owners seem 4) … ,” said Marvin Miller about the contraction plans announced by major league owners this week. “The notion that you can just 5) … the union is foolish, and becomes more foolish each time they do it.”

Love him or hate him, Miller is someone who is tough 6)… when talking about labor relations in baseball in general and U.S. sports as a whole.

Before Miller, owners could and did ignore players’ wishes. They would refuse 7) … with players’ agents, or 8) … multiyear contracts.

The owners have apparently come up with a new theory of how 9) … with the players union - if you can’t beat them, pretend they’re not there. They tried 10) … the union their first defeat in the lifetime of most players by simply announcing the unilateral action.

Commissioner Bud Selig admitted that management would have 11) … with the union how the players with the two yet-unnamed franchises will 12) … , but not about whether contraction would 13) … .

F.3 Read the sentences from ‘The Economist’ advertisements, underline examples of verb + object + infinitive or verb in the Passive + infinitive constructions and place them in the appropriate column in the box below. Translate the sentences into Russian.

  1. The Treasury Select Committee of the House of Commons is seeking a Committee Specialist to assist with the inquiries.

  2. Candidates will be expected to have a broad understanding of the whole range of the Government’s economic agenda.

  3. Strict impartiality is required and the person appointed will be expected not to engage in political activities for the duration of the appointment.

  4. ‘Local Voices’ is designed to support professional broadcasters in creating high-quality coverage of AIDS issues for their audiences.

  5. We are looking to you to strengthen our efforts by providing a first rate national and international policy research and advisory service to Director General.

  6. Due to the nature of the work, the successful applicant will be required to complete security clearance.

  7. The Institute of Management and Computer Sciences is searching for an outstanding individual possessing a doctoral degree in management sciences area to head its management sciences stream.

  8. He/she would be expected to provide leadership to build the Institute’s management sciences track into a leading business program in Pakistan.

  9. The institute is being planned to be elevated to the status of a university.

  10. Following assessment of the Expressions of Interest, DFID will invite short-listed applicants to submit full technical and commercial proposals.




Verb + object + infinitive

Verb in the Passive + infinitive







G. Speak up

G.1 Answer the following questions.

  1. Are labor relations good or bad in your country? Why?

  2. Do you consider that the unions in your country can influence the decisions made by the management? Why?

G.2 Discussion topics

  1. To what extent in your opinion should unions be consulted before management makes decisions about manufacturing new products, changing working hours, hiring new staff?

  2. Comment on the following: the decline of unionism in recent decades has been attributed to a) changes in the structures of the economy and labor force, and b) growing managerial opposition to unions.

H. Reading the English newspaper
H.1 Read the article and do the exercises.
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