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Contracting Out – SAMPLE CLAUSES

Contracting out is a serious concern since the bargaining unit could be undermined or destroyed by contracting out.  Contracting out is the employer hiring a second independent employer to perform work for the company.


CLAUSE 1: The employer shall not contract out bargaining unit work.

This clause is strong enough to protect bargaining unit work.


CLAUSE 2: The employer shall not contract out bargaining unit work beyond what is currently contracted out.

This is not quite as strong because the employer can continue the contracting out now being done.


CLAUSE 3: The employer shall not contract out work if there are employees at work or on lay-off who can perform the work in question.

This is somewhat weaker still because the employer can contract out if there are no employees on lay-off or not enough workers now in the bargaining unit who are able to do the work.


CLAUSE 4: No employee in the bargaining unit shall be laid off or suffer a loss of hours of work or pay as a result of the contracting out of bargaining unit work.

This clause is very weak because the union would have to prove a direct cause-and-effect connection between the contracting out and a lay-off or loss of hours or pay.


CLAUSE 5: The employer shall give two months’ notice with reasons to the union before contracting out any bargaining unit work.

This is the weakest of call clauses because the employer need only give notice and reasons.

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