What is the Wagner Act?

The Wagner Act prohibits employers in the private sector from engaging in unfair labor practices and gives employees the right to establish labor unions, conduct strikes and negotiate benefits, working conditions and compensation. Some key things to know about this legislation include:

• It introduced several employee rights and protection for companies regarding strike disruptions. It also ensured that organized employees received protection from federal and state governments and helped tip the scales regarding employee-employer power.
• The Wagner Act looked to avoid strikes that often resulted in violent confrontations by promoting collective bargaining to create a peaceful relationship between employers and employees. This provision was put in place to reduce labor disruptions with the potential to negatively impact businesses and the economy.
• It also fosters good, healthy communication between both labor and capital.Ultimately, the Wagner Act sought to remedy the failure of the National Industry Recovery Act (NIRA), which was intended to improve working conditions, support labor rights and regulate industry.

Unfair labor practices, per the Wagner Act

The original Wagner Act of 1935 laid out five unfair labor practices and prohibited employers from engaging in them. Although others have been added since the inception of this legislation, the five original prohibitions are:

• Preventing workers from organizing or joining labor organizations and bargaining collectively
• Interfering with or controlling labor organization creation or administration
• Showing bias for or against employees to influence labor organization support
• Discriminating against employees who give Wagner Act testimony or file charges
• Refusing to bargain collectively with representatives chosen by employees

Wagner Act updates and expansions

Updates and expansions to the Wagner Act and related legislation codified rules for managing disputes between labor and management and provided additional rules for employers, unions and employees. It’s important to understand these updates, so you know your rights and obligations. These updates include:

National Labor Relations Board

The Wagner Act also created the National Labor Relations Board (NLRB), which supervises union activity and the relationship between unions and company management. The NLRB also provides an outline of how unions must be structured and decertified.

If employees, union representatives or employers violate the Wagner Act or claim a violation of their rights, the NLRB investigates. If mediation isn’t enough to handle a hearing, the NLRB makes the final decision concerning the violations.

Taft-Hartley Act

During the 1940s, legislators believed unions had overwhelming power, so an amendment to the Wagner Act called the Taft-Hartley Act was born in 1947. This act limits the influence of unions and allows employees the right to refuse union membership and decertify them should the need arise.

The latter can occur if employees don’t feel adequately represented in collective bargaining. In addition, the Taft-Hartley Act makes unions responsible for holding up current contracts without striking. Under the NLRB, unions couldn’t charge excessive fees or charge an employer for work they didn’t do.

The Landrum-Griffin Act of 1959

Also known as the Labor-Management Reporting and Disclosure Act, The Landrum-Griffin Act of 1959 shifted the jurisdiction of cases the NLRB declined to state courts and labor relations boards. Incidences of corruption and racketeering by organized labor revealed by congressional investigations lead to this legislation taking shape.

It had the goal of creating a Bill of Rights for union members and forcing accountability with disclosure and reporting requirements. This act also laid out standards, rules and procedures through which union members elected officers.

Examples of Wagner Act violations

Wagner Act violations have the potential to damage your relationship with employees and leave you liable for damages, should the NLRB find you in violation. As such, it’s helpful to understand what constitutes a Wagner Act violation from both the perspective of an employer and a labor organization.

Employer violations

These examples show situations where employer conduct is in violation of the Wagner Act:

• Asking employees about their union loyalty, sympathy or involvement
• Threats to close the plant or branch if employees choose union representation
• Threats of job or benefits loss if employees choose union representation
• Promising or providing benefits or awards to employees who discourage their interest in unionizing
• Punishing employees by any means, including termination or more difficult responsibilities, because of their union involvement
• Punishing employees by any means, including termination or more difficult responsibilities, because they filed a claim stating theiremployer performed unfair labor practices
• Punishing employees by any means, including termination or more difficult responsibilities, because they took part in an NLRB investigation

Labor organization violations

Labor organization conduct that includes the following is in violation of the Wagner Act:

• Threats of employee termination unless they join the union
• Punishing employees for not being involved in a union, even when they’ve paid or offered to pay the union fees
• Refusing to process a complaint because of employee criticism of a union official
• Refusing to process a complaint because an employee isn’t a union member in a state that prohibits union security clauses
• Fining employees who have resigned from the union for practicing in planned activities shortly after
• Fining employees who have resigned from the union for crossing an unlawful picket line
• Taking part in picket line misconduct
• Striking for reasons unrelated to employment terms and conditions or entangling neutral employees in a labor dispute

What managers should know about the Wagner Act

Employers and their representatives need a basic understanding of the Wagner Act should the subject come up in the workplace. Key things managers need to know include the following:

Employee rights

Under the Wagner Act, employees have the right to:

• Organize unions to negotiate with employers concerning hours, wages and other terms and conditions of employment
• Establish, join or support a union
• Bargain collectively through representatives for a contract with an employer setting benefits, hours, wages and other working conditions
• Discuss the terms and conditions of employment
• Take action to improve working conditions by filing work-related complaints directly with a government agency or an employer and seeking help from a union
• Conduct strikes and pickets
• Refrain from engaging in any of the above-mentioned activities, including joining or remaining a member of a union

Employer rights

Under the Wagner Act, employers have the right to:

• Freely express their opinions about unions and unionization, provided what they say doesn’t threaten, coerce or promise anything to employees
• Refuse to recognize or bargain with a union, unless that union represents a majority of workers

The Wagner Act prohibits a union from engaging in secondary boycotts, refusing to bargain in good faith, picketing an employer for organizational or recognition purposes, forcing an employer to pay for services that aren’t performed or entering into a hot cargo agreement with an employer.

A hot-cargo agreement is an agreement between a union and an employer in which the employer agrees to stop using, handling, transporting or otherwise dealing with the products of another employer who the bargaining union has labeled as unfair.

Union rights

Union rights under the Wagner Act include:

• The right to form or organize a bargaining unit in a private sector workplace
• Protection from unfair labor practices
• Modify wages, benefits and other working conditions

Wagner Act FAQs

The answers to these frequently asked questions will help you learn more about the Wagner Act.

Who is covered by the Wagner Act?

The Wagner Act covers most employees in the private sector. However, the Act doesn’t cover individuals who are employed:

• By local, state or federal governments
• As an independent contractor
• In the domestic service of any family or person in a home
• As a supervisor
• By a spouse or parent
• By a company subject to the Railway Labor Act, such as airlines and railroads
• As agricultural laborers
• By any other person who’s not an employer as defined in the Wagner Act

Does an employee need to be in a union to be protected by the Wagner Act?

All employees in the private sector, with or without a union, are protected by the Wagner Act. They have the right to help each other by signing petitions, sharing information and seeking to improve benefits, wages and working conditions in a variety of ways.

How do employees, employers or unions file a charge with the NLRB if their rights have been violated?

An employee, employer or union can file a charge with the NLRB’s regional office, typically with the help of an Information Officer. They have to file a charge within six months of the incident. The Regional Office then reviews the charge and, if valid, issues a complaint.

What other workplace rights does the Wagner Act protect?

The Wagner Act through the NLRB protects employees rights to discuss salary among each other. Although some employers try to limit comparisons between employees, the NLRB includes the right to discuss wages with fellow employees, even when your company has a policy that prohibits it, due to provisions for discussing employment conditions like pay and safety issues. This right exists whether workers are union or nonunion employees.