Watchdog Slams Anti-Worker Legislation

For Immediate Release

Contact: Kara Zupkus (224) 456-0257

WASHINGTON, D.C. – Today, the Taxpayers Protection Alliance (TPA) criticized the Faster Labor Contracts Act (FLCA), which would give federal arbitrators sweeping new power over first union contracts. The legislation, which passed the House in June by a vote of 230–193 and may soon be considered by the Senate, would significantly change how employers and newly unionized workers negotiate their first collective bargaining agreements. Under the bill, employers would be required to begin bargaining within 10 days of a union’s written request. If the parties fail to reach an agreement within 90 days, either side could request federal mediation. If another 30 days pass without an agreement, a three-member arbitration panel could impose a costly binding contract lasting two years.

Ross Marchand, Executive Director of the Taxpayers Protection Alliance, offered the following statement:

“The FLCA would mean far fewer choices for workers and increased costs for families. This misguided legislation creates a fast track for unions to secure—by government order—terms they would otherwise have to earn at the bargaining table. Instead of encouraging good-faith negotiation, it effectively imposes a government-mandated deadline. The U.S. Chamber of Commerce has rightly warned that there is no cap on the topics an arbitration panel can dictate and no guarantee that the outcome is affordable for the business paying for it.

“Government-imposed terms on wage, benefit, and staffing terms are a recipe for disaster. They will almost certainly show up as higher prices and mass layoffs. Meanwhile, higher costs of doing business and thinner margins will result in reduced investment in job growth and innovation. At a time when Americans are already worried about affording groceries, rent, insurance, and everyday goods, giving unelected arbitrators power to impose binding costs on employers is the wrong approach.

“The FLCA will harm the very businesses, workers, and consumers it ostensibly aims to protect. It trades worker choice and small-business stability for bureaucrat-imposed outcomes and more power for union bosses. Congress should reject this legislation and put workers over bureaucrats.”

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The Taxpayers Protection Alliance (TPA) is a non-profit, non-partisan organization dedicated to educating the public through the research, analysis, and dissemination of information on the government’s impact on the economy.