Page 240 - Introduction to Business

214 PART 2 Managing Business Behavior

back under the regime of employment-at-will. Whereas previously unions had
negotiated with employers regarding issues like job safety, pension benefits, work-
place, sick leave, the impact of plant closures, and even age, disability, and other
discrimination in the workplace, these issues now came completely under the
authority of the employer. Also, without the just cause protection of labor contract
grievance procedures, employees could now be fired or disciplined by employers
for any or no reason whatsoever.
Government, or public sector, employees are entitled to fairly broad constitu-
tional workplace protections. In addition, in direct contrast to the private sector,
the rate of unionization among these employees has increased dramatically during
the past few decades. Public sector unionization is regulated by special laws and
not by the NLRA.
Private sector workers, however, were not ready to accept a total return to the
laissez-faire employment regulation policies of the nineteenth century and began
pressing both federal and state legislative bodies for action. The result, over the past
four decades, has been a virtual explosion of government, especially federal gov-
ernment, regulation of the workplace. The U.S. Congress has since the early 1960s,
right after the anti-union Landrum Griffin Act of 1959, passed at least ten major
pieces of legislation regulating or affecting human resources management. These
are listed in Exhibit 6.2. Moreover, various state legislatures have also passed laws
in this area, and state court judges have been particularly active in cutting back on
the doctrine of employment-at-will.

EXHIBIT 6.2
Post–1960 Federal Legislation Affecting Human Resources Management

Law Scope
Equal Pay Act (1963) Mandates that men and women doing equal jobs
must be paid the same wage
Title VII of the Civil Rights Outlaws discrimination in employment practices
Act of 1964 based on race, sex, color, religion, or national origin
Age Discrimination in Prohibits human resource practices that
Employment Act (1967 and discriminate against people aged 40 and older,
1986) and 1986 amendments eliminate mandatory
retirement age for most all individuals
Occupational Safety and Regulates safety in U.S. workplaces
Health Act (1970)
Employment Retirement Regulates private employer defined benefit pen-
Income Security Act (1974) sion plans and establishes a federal insurance
program for such plans
Pregnancy Discrimination Prohibits discrimination against employees on the
Act (1978) basis of their pregnancy
Worker Adjustment and Requires employers to give employees 60 days
Retraining Notification notice of plant closure or layoff if 50 or more
(WARN) Act of 1988 employees
Americans with Disabilities Prohibits discrimination in employment practices
Act (1990) with respect to qualified individuals with disabili-
ties
Civil Rights Act (1991) Expands rights of employees to sue and collect
damages under the Civil Rights Act of 1964
Family and Medical Leave Requires employers with 50 or more employees to
Act (1993) provide employees with up to 12 weeks of unpaid
leave for specified family or medical reasons

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