The Daily Labor Report (subscription only) recently reported on an important win for National Right to Work Foundation staff attorneys in the 9th Circuit Federal Appeals Court:

Upholding the National Labor Relations Board’s January 2006 decision against Studio Transportation Drivers Local 399 of the Teamsters, the appeals court found that the union, which used the arbitration awards for nonrepresentational purposes such as political and charitable contributions, should exclude the money from its calculation of agency fees rather than use it to reduce its reported nonrepresentational expenses.

By spending the arbitration award money on nonrepresentational rather than representational expenditures, the union in effect increased the agency fees owed by the objecting nonmember for representational expenses, Judge Harry Pregerson wrote for the appeals court.

The win is important because it prohibits cooking the books to overcharge nonmembers who are forced to pay dues to union officials as condition of employment.

It is now even more clearly illegal for union officials to funnel revenue from sources other than union dues to pay for "non-chargeable" items – like politics, lobbying and members-only activities.   Using this scheme, union officials try to get away with charging a higher percentage of the remaining activities to forced-dues-payers.

You can be certain that as long as union officials can force employees to pay dues they will continue to develop schemes to maximize the amount of the dues they extract from unwilling workers.  Thanks to National Right to Work Foundation attorneys, at least this particular method of union discrimination is clearly illegal.

Posted on May 19, 2008 in Blog