4 Ways Manufacturers Can Help Build a Strong Company-Union Relationship

Travelers red umbrella.
By Travelers
5 minutes
Young engineer with quality control inspector in factory.

When an employee injury leads to a workers compensation claim, manufacturers with a strong company-union relationship may have an advantage. Their common goal is to support an employee’s recovery and return to work as soon as medically appropriate and to help ensure their workers’ health and safety.

With the economic implications of productivity, quality and profit at stake, an investment in establishing positive rapport with unions has the potential to yield significant gains for businesses and unions alike. Particularly when dealing with challenges, fostering a constructive culture of mutual trust supports pro-active problem-solving and the reciprocal support that is so important to producing positive outcomes.1

As seasoned workers retire and less tenured workers step into the workplace, the generational attitudes toward union support in the workplace become increasingly evident. A recent poll conducted by the AFL-CIO indicates that 88% of individuals under the age of 30 hold a favorable view of unions.2 Unlike prior generations, a younger cohort of workers with a strong sense of social justice may be more inclined to assert their rights and act collectively in advocating for respect and dignity in the workplace.

The case for strong company-labor relationships

There are many potential benefits of a strong relationship between management and unions, including:

  • More opportunities for safety training. Unions may have access to grants and other resources to help provide continuous safety and professional development to members.3
  • Productivity gains. Regular collaboration with union representatives can help mitigate operational interruptions before they happen.4
  • Reduction in turnover. The job security that unions offer can help keep experienced employees from leaving the company.5
  • Enhanced well-being. Together, unions and management can offer programs and policies that help employees reduce stress, focus on proactive health management and develop more successful medical recovery and return-to-work programs.

Strong union relationships can also serve as a catalyst for facilitating open communication between workers and management. In 2022, over half of the nearly 18,000 OSHA inspections conducted nationally were initiated by alleged hazards primarily reported by employees.6 A collaborative approach not only fosters a safer work environment, but it also empowers employees to actively participate in identifying and addressing potential hazards alongside management, helping to ensure compliance with OSHA regulations.

Managers, especially those new to their roles, must recognize the importance of prioritizing workplace safety. Beyond safeguarding employee well-being, they should understand the broader financial implications of increased workers compensation claims that can stem from worker injuries, which could in turn result in lost productivity, missed deadlines and higher insurance premiums.

Through partnership with unions, management can effectively communicate the company’s approach to critical areas affecting employees, such as reintegrating injured workers and creating a mutually beneficial environment where both parties can work together.

4 ways to help build successful working relationships 

To establish a successful working partnership between your company and unions, consider implementing some key relationship-building strategies.7

1. Find mutual goals

Identifying and resolving problems that afflict both groups, especially as part of a continuous improvement plan, is a solid first step to helping cultivate a mutually beneficial relationship. Understanding the other’s perspective regarding workers’ rights is part of this process. While wages and benefits are components of the negotiating process, worker safety is something everyone can agree on and can be a point of cooperative collaboration for continuous improvement. Remember, employees who feel safe at work and who are healthy and thriving are generally more productive, may take fewer sick days and may be more focused on the job.8

Consider forming a management-labor committee. It can serve as a regular forum to bring up and work through day-to-day concerns, from minor complaints to larger manufacturing problems.9 Together, you and a union can work to foster an engaged workforce that understands and participates in the development of safety processes and procedures.

2. Communicate for understanding

Clear and consistent communication is essential to helping establish and maintain an amicable relationship. A union representative who understands why certain choices are made by the business may be more inclined to support them or even assist in finding solutions.10 Share insights into market disturbances that impact employment, workplace injuries and bottom-line decisions with union partners. Provide a variety of methods and opportunities to help keep lines of communication open and be sure to respond to their inquiries in a timely manner.

3. Celebrate successes together 

Most everyone likes recognition for their achievements. It’s good for business and for strengthening relationships. When management and union leaders share credit for productivity milestones and/or safety goals, they demonstrate appreciation for each other’s contribution to the win.11 Encourage creating more of these cooperative, trust-building moments. Consider arranging community projects or volunteer opportunities where management and employees can work together and bond outside the typical workday.

4. Collaborate for injury management

The care of an employee who is injured on the job is of extreme importance to both the employer and the union. Together they can work to offer the services necessary for optimal recovery, encourage participation in care programs that include addressing the psychological impact of a work-related injury and help the employee return to work as soon as medically appropriate. A union representative may be able to offer insight and support to help develop a personalized return-to-work plan and may partner with businesses to help injured employees understand what to expect from a claim.12

Clear and constant communication between the employer and the injured employee can help keep them connected and informed. It’s important for management to communicate with employees and union partners about why engaging injured workers at the right time in the right way throughout the claim can lead to better outcomes.13 To help returning employees ease into the job, employers can consider establishing a transitional duty program. Not only can this help reduce the cost of a claim, but it may help alleviate the negative psychological impacts employees can suffer as a result of being off work for an extended period of time.

Build strong union relationships with support and resources 

A strong collaboration across management, employees and unions can help improve operations, lead to improvements in employee health and wellness, and ensure the overall success of the company. When this happens, everyone has the opportunity to benefit.

Learn more about manufacturing insurance.

Sources:
1,9 https://www.fmcs.gov/wp-content/uploads/2017/01/FMCS-Building-Relationships-09-View.pdf
2 https://aflcio.org/press/releases/afl-cios-shuler-state-unions-strong-record-public-support-unprecedented-activism-and
3 https://www.dol.gov/newsroom/releases/osha/osha20230919
4,5,7,10 https://blog.dol.gov/2023/08/29/creating-value-through-labor-management-partnerships-at-work
6 https://www.osha.gov/enforcement/2022-enforcement-summary
8 https://www.cdc.gov/workplacehealthpromotion/model/control-costs/benefits/productivity.html
11 https://www.osha.gov/safety-management/program-evaluation
12 https://www.wcb.ny.gov/returntowork/employer-business-owner.jsp#:~:text=In%20larger%20organizations%2C%20this%20plan,employee's%20legal%20representative%2C%20if%20any
13 https://www.constitutionstateservices.com/resources/the-social-and-psychological-impact-of-injuries-at-work

 

two assembly line workers at a manufacturing plant

Top Stories

4 Factors to Consider When Choosing a Workers Compensation Carrier

Your workers compensation insurance carrier may provide opportunities to reduce ergonomic and other workplace risks. Explore what factors you should consider when selecting a worker's compensation carrier.

Related Products & Services

Supports employers and employees after work-related injury or disease, delivered with a host of proprietary services to support positive outcomes.

From protecting equipment to keeping trucks on the road and workers on the job, manufacturers require custom solutions.

More Prepare & Prevent

Balancing the Risks of Technology Adoption in Manufacturing

Advanced manufacturing technology can provide competitive advantages, but it also heightens operational risks. Discover how to effectively integrate new technology.

Manufacturing employee working with advanced technology.

More Prepare & Prevent

The Travelers Injury Impact Report

Travelers knows firsthand that injuries can occur in any business, regardless of industry or size. Learn more in the Travelers Injury Impact Report.

injury impact report.

More Prepare & Prevent

4 Factors to Consider When Choosing a Workers Compensation Carrier

Learn how choosing the right workers compensation insurance partner for your ergonomic needs can help you better manage claims and potentially reduce the risks for your organization.

two assembly line workers at a manufacturing plant