What are union dues and how are they collected?

What are union dues? Dues are the periodic financial contributions that unions exact from their members to finance programs and to cover operating expenses.

How are unions entitled to collect dues? The right of unions to collect dues from their members is deeply embedded in federal labor law. For instance, the section of the National Labor Relations Act which expressly permits union security agreements says that the only reason a union can try to get a worker fired under such an agreement is if the worker fails to pay dues and initiation fees. On the other hand, federal law also recognizes that the payment of union dues is no small burden to workers. Consequently, the law requires that membership votes be held to approve dues hikes.

May an employer deduct union dues from employee paychecks? Employers may agree to a request by the union as part of a collective bargaining agreement to a dues check-off, in which the employer will deduct an employee's union dues from each paycheck and transmit the amounts deducted directly to the union. However, the employer may deduct wages for union dues only if the employee has voluntarily elected to have wages deducted.

May an employer require its workers to agree to dues check-off? No. A worker has the right to refuse to sign a check-off authorization if he wishes to discharge his dues payment obligations in some other manner.

Are there any conditions that must be met to check off dues? Under federal labor law, the employer must receive a written assignment from each employee from whose paycheck the union dues are to be deducted. Also, the written assignment may not be made irrevocable for a period of more than one year or beyond the termination date of the applicable collective bargaining agreement, whichever occurs sooner. In practice, unions and employers have used written authorizations which contain automatic renewal clauses to circumvent this requirement. At the end of the one-year period, an employee has 15 days in which to revoke his or her check-off authorization. If the employee does not revoke within that time, then the authorization is irrevocable for another year.

Can an employer stop honoring dues check-off provisions of a collective bargaining agreement once the contract expires? The National Labor Relations Board has said that an employer's obligation to continue a dues check-off arrangement expires with the contract that created the obligation. Therefore, an employer may unilaterally dishonor the dues check-off provision of an expired agreement.

May an employee refuse to provide financial support to a union? In those states where employees cannot be compelled to join labor unions as a condition of employment, unions typically are allowed to exact representation fees from nonunion employees for whom it has the duty to bargain collectively and represent in grievance procedures. However, employees may have religious objections to joining or providing financial support to a union. The NLRA has a provision that permits such employees not to join a union, and to refrain from paying dues and initiation fees, provided they pay equal sums to charitable organizations under conditions defined by the Act. However, unions representing such employees may also charge them the reasonable cost of any grievances processed at the employees' request.