Major Union Contract Battles To Come: Looking Ahead To 2025: LRI INK

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Subject: Major Union Contract Battles To Come: Looking Ahead To 2025: LRI INK

December 19, 2024

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Wishing You Peace, Joy, and Prosperity This Holiday Season

As we reflect on this past year, we are filled with gratitude for the trust and collaboration of our valued partners, clients, and colleagues. Your support fuels our mission to help organizations create extraordinary workplaces, and for that, we are truly thankful.

This season, we wish you moments of joy with loved ones, opportunities for growth, and a bright start to the new year ahead.

From all of us at Labor Relations Institute, we hope your holidays are filled with warmth, laughter, and cherished memories.

Here’s to a happy and successful 2025 together!

We won't be publishing during the holiday break. We will return with our first newsletter of 2025 on January 9th.

Warm regards,

The Team at LRI

The NLRB Takes On… Reality TV? And So The Second Trump Era Begins

by Kimberly Ricci

Last week, the NLRB took a stand on reality TV. Really.

The timing of this news might be coincidental, but the message? That’s debatable. The Board is poised for a big change with the second Trump term. He will replace members when terms expire and be able to fire administrative judges. Also last week, the Senate narrowly voted against confirming Biden's NLRB Chair Lauren McFerran for another 5-year term.

So, the Board will no longer lean in favor of labor and appear to be taking major swings before change happens. This particular case might have been coming regardless of who won the election, but it illustrates how extreme the current NLRB has become.

Back to reality: The NLRB has issued a federal complaint against Kinetic Content and Delirium TV, producers of an unscripted Netflix dating show, Love Is Blind, in which contestants go on “dates” and get “engaged” while never seeing each other. Those specifics aren’t too important, but the NLRB is very interested in this show.

With their complaint, the Board has classified this show’s contestants as “employees” while accusing producers of misclassifying them as “participants.” This could have far-reaching implications that could rock reality TV and the ongoing “contractors or employees” debate. That dust-up saw a recent setback for Big Labor when the California Supreme Court ruled that rideshare drivers would remain independent contractors.

A winding history: The NLRB’s complaint against Love Is Blind is only one stop on a controversial road that runs beyond today’s discussion. Long story short, multiple cast members have brought lawsuits alleging mistreatment, an alcohol-soaked environment, and low pay rates, and the Board alleged labor violations involving the show’s contractual terms, including strict confidentiality and noncompete agreements. This year, Netflix and producers, while not admitting wrongdoing, settled a class action suit for $1.4 million involving California minimum wage.

The NLRB’s complaint might allow these contestants to unionize and collectively bargain: Strange? Perhaps. First, there’s the fleeting nature of reality TV, where seasons are filmed over a few weeks or months. Imagine how that business model could be derailed by collective bargaining. Second, these contestants do not go in entirely blind to these show’s gimmicks.

Remember The Apprentice? Contestants knew they were at risk for humiliation via this Trump-uttered catchphrase: “You’re fired!” Again, it’s interesting that reality TV is a Board target right now.

Food for thought: Former Love Island contestant Renee Poche and her attorneys sat down for an interview with Deadline Hollywood. The trio discussed the NLRB complaint and hoped for on-set protections. They want this case to usher in sweeping changes in California labor law.

What’s next: This could mean that Real Housewives or Jersey Shore reunions will stop hosting alcohol-fueled dinners that could get out of hand. That simple change could sink reality TV as we know it, but the issue might not get that far. The Board’s complaint will be heard by administrative judges and perhaps a federal appeals court. This will take years, and in that time, Trump could replace enough judges to quash the case.

Still, it’s fun to imagine how Trump would have reacted if the NLRB had taken on The Apprentice. Now, he might be yelling, “You’re fired!” for different reasons.

Blog Post

Major Union Contract Battles To Come: Looking Ahead To 2025

by Kimberly Ricci

Next year will bring major changes to the labor landscape on several fronts. General counsel will need to navigate recent NLRB decisions, HR will need to review the new memo on settlement agreements, and the NLRB had another shake-up with more on the way. Heck, the Board even threw a bizarre curveball at a subject near and dear to Trump.

Of course, unions will continue their siege on the organizing front. Numerous contract battles will also take place for new and renewal agreements, and we rounded up the most notable examples.

Longshoremen

Back in October, the International Longshoremen’s Association (ILA) suspended its strike against the U.S. Maritime Alliance (USMX) after reaching a semi-resolution. That agreement punted the automation issue with a new strike deadline, and unsurprisingly, talks ground to a halt again by mid-November. ILA President Harold Daggett wants a “no automation” rollback despite semi-automated cranes and gates already in use at some ports. If the parties don’t come to an agreement by Jan. 15, Gulf and East Coast ports could shut down for another strike.

Retail

Starbucks and the SEIU-affiliated Starbucks Workers United (SBU) are still hammering out their first contract negotiations with key issues remaining. 98% of SBU members have voted to authorize a strike as frustrations continue to grow after the union demanded that agreements be in place by the end of 2024. Meanwhile, new CEO Brian Niccol penned an end-of-year message about his goal of making Starbucks “the best job in retail.” If only Niccol didn’t have to consider a union to get there.

Costco and the Teamsters are negotiating a new master contract for 18,000 workers, with the current agreement expiring on January 31, 2025. After talks were suspended in August and recently resumed, the union claimed that the company would not agree to “98 percent of Teamsters proposals.”

A stream of UFCW contracts with Albertsons and Kroger, involving hundreds of thousands of workers, will expire in 2025, starting with Colorado locals in January. These battles have been complicated by a union lawsuit against the grocery store chains for a “no-poach” agreement that allegedly gave the companies some advantage in negotiations.

Transportation

A seven-week strike by Seattle-area machinists ended in November with a new contract for 31,000 IAM-represented workers after contentious union tactics. Max 737 production only resumed a week ago. Still, the corporation faces more contract negotiations next year due to IAM-represented workers, this time those who manufacture fighter jets in St. Louis, who could strike after a July contract expiration date.

Over 30,000 flight attendants already authorized strikes at a trio of airlines, including United Airlines, where an Association of Flight Attendants-CWA (AFA) contract expired over three years ago; Alaska Airlines, where workers rejected a tentative agreement in August; and Frontier Airlines, which reportedly pays flight attendants the lowest wage out of any major airline. Bargaining sessions will begin again in January, but at least the holiday travel season is safe from these potential strikes.

Blog Post

Navigating Labor Challenges: Starbucks and the Path Forward

by Michael VanDervort

It’s been a while since we have had an update on Starbucks. In April, the company and union jointly announced that they would resume bargaining on a collective bargaining agreement, aiming to reach a contract by the end of 2024.

That process was disrupted mid-year when new CEO Brian Niccol took over the company. Still, in September, he said the coffee chain was committed to bargaining in good faith with the union that represents a small portion of its baristas.

As year-end approaches, Starbucks faces renewed labor tensions as Starbucks Workers United (SBWU) announced that 98% of its members voted to authorize a potential strike. While plans or dates for a strike have yet to be confirmed, the vote signals growing frustrations from unionized employees and highlights ongoing challenges in reaching an agreement on key issues.

A Notable Development: Expanded Parental Leave

Amid these discussions, Starbucks recently announced a significant expansion of its parental leave benefits, a move aimed at supporting employees and enhancing its workplace offerings. Beginning in March 2025, birth parents who work at least 20 hours per week will be eligible for up to 18 weeks of fully paid leave, tripling the current six-week benefit. Non-birth parents will also see their leave increase to 12 weeks, up from three.

CEO Brian Niccol framed the change as part of Starbucks’ broader commitment to being an employer of choice in the retail sector. However, SBWU has taken credit for the benefit expansion, stating that it resulted from union-driven proposals during bargaining.

SBWU also announced that employees at the Sodo Reserve, a marketplace-style store in the company’s Seattle headquarters, voted 21-to-14 to join the union just hours after the strike vote announcement, continuing a recent string of organizing success.

Key Issues Remain

While the expanded parental leave is a step forward, SBWU has raised concerns about other unresolved matters. The union points to hundreds of outstanding unfair labor practice allegations and over $100 million in potential legal liabilities.

Starbucks, for its part, emphasizes the progress made during bargaining. Since April, the company has reached over 30 tentative agreements on various topics, including economic issues. Despite these strides, the union continues to push for broader commitments, with barista and bargaining delegate Silvia Baldwin stating, “It’s time to finalize a foundational framework that includes meaningful investments in baristas and to resolve unfair labor practice charges.”

Strike authorizations are not uncommon in union negotiations. They often serve to demonstrate solidarity and apply pressure. For Starbucks, the prospect of a strike—whether symbolic or widespread—adds urgency to ongoing discussions.

Communicating Achievements: Starbucks’ expanded parental leave is a tangible employee benefit. Ensuring the workforce recognizes these improvements is essential for maintaining morale, improving retention, and demonstrating the company’s commitment to its employees.

Preparing for Targeted Actions: Given SBWU’s history of strategic strikes, management should be ready for potential disruptions, particularly in key markets or during high-traffic periods.

Looking Ahead

Starbucks and SBWU will hold their final bargaining session of the year this week. According to the parties, significant progress has been made, but unresolved issues include wages, benefits, and scheduling. For Starbucks—and other organizations navigating complex labor dynamics—success lies in balancing employee needs with operational priorities in a challenging time for the company.

Blog Post

Stories You May Have Missed:

Will Starbucks baristas go on strike? Here’s what to know after the union’s authorization vote

Link

President Biden Designates Gwynne A. Wilcox as Chair of the National Labor Relations Board

Link

UAW President Must Forfeit Documents to Watchdog, Judge Says

Link

UAW Reaches Secret Deal With Rivian to Make Unionizing Easier

Link

Teamsters union launches historic nationwide strike against Amazon

Link

About Labor Relations INK

Labor Relations INK is published weekly and is edited by LRI Consulting Services, Inc. Feel free to pass this newsletter on to anyone you think might enjoy it. New subscribers can sign up by visiting here.

If you use content from this newsletter, please attribute it to Labor Relations Institute and include our website: http://www.LRIonline.com

Contributing editors for this issue: Greg Kittinger, Michael VanDervort, and Kimberly Ricci.

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About Labor Relations Institute

LRI exists to help our clients thrive and become extraordinary workplaces. We improve the lives of working people by strengthening relationships with their leaders and each other. For over 41 years, LRI has led the labor and employee relations industry, driven by our core values and our proven process, the LRI Way.

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Subject: Major Union Contract Battles To Come: Looking Ahead To 2025: LRI INK