Labor Relations

Union Membership Is Resurgent: Avoid Bad PR in Labor Relations

Union membership is on the rise—are you prepared? Handle labor relations challenges and prevent bad PR by proactively addressing union engagement.


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Rebounding union formation and membership is driving the urgency among employee and labor relations managers in their handling of union engagement issues. 

In 2023, for instance, the National Labor Relations Board passed a new ruling that facilitates the ability of construction workers, Lyft and Uber drivers, and home health aides to form and join unions. When this law was issued, labor laws allowed only individuals with employee status, not contractor status, to unionize. It’s now possible for gig, contract, and freelance workers to unionize and actively participate in union membership drives.

In a resurgent labor atmosphere, HR departments must do what they can to support employee engagement, and satisfaction, and avoid the types of escalations that can lead to bad PR or anger-driven union formation.

Bad PR: Starbucks' Mistake Regarding Union Engagement

Starbucks is another large corporation that has recently faced consequential criticism about its confrontation with union organizers. News reports of top Starbucks executives intimidating and, in some cases, terminating pro-union employees made headlines. Further revelations indicated Starbucks engaged in deliberately unfair labor practices in many stores. It’s true that a Supreme Court decision on the matter dealt a blow to labor unions and made it more difficult for the NLRB to force companies to reinstate workers fired for union activity. However, the damage may have already been done.

As a result of aggressively targeting unionization efforts by its employees, Starbucks now must deal with a sullied reputation worsened by bad PR and the negative public reaction to its anti-union stance. In addition, Starbucks CEO Charles Schulz is facing quarterly revenue losses due to accusations of retaliatory actions against employees participating in union involvement and for adopting political leanings contrary to customer beliefs.

How Has Union Membership Changed in Recent Years?

The latest annual union membership numbers published by the Bureau of Labor Statistics (BLS) report that union membership has increased by 190,000 to over 14 million workers. Americans are more pro-union in the 21st century than during the '70s, '80s, and '90s. Although union support reached a decade-high of 71 percent last year, that percentage still falls short of the 75 percent recorded in 1953 and 1957.

Union engagement is a persistent topic in labor relations and HR meetings. Specifically, organizations must prioritize the development of strategies to avoid what happened to Starbucks following their botched attempt at handling pro-union employee activities. Without a plan of action ready for implementation, employers inevitably risk making costly mistakes, being dragged into litigation, struggling with customer boycotts, and damaging their reputation beyond repair.

Union Involvement and Labor Disputes: What Orgs Can Do To Avert Conflicts

Interest in union formation stems from a negative work culture, closed communication channels, and a lack of transparency regarding policies. To reduce the risks of revenue loss, boycotts, and strikes, companies might consider creating specialized conflict resolution teams to manage grievance processes:

  • Negotiate contracts proactively, not reactively
  • Review labor laws and agreements several times annually
  • Invest in technology to keep case files organized and processes in order

Laborsoft offers groundbreaking software that helps employers avoid unwanted outcomes during labor disputes by consolidating tasks, documents, communications, and other items within a single portal.

Minimizing Risks During Labor Disputes with Laborsoft

Laborsoft is a global leader providing large organizations with the software and tools essential for streamlining labor relations issues. Our software can be an effective aid in labor relations efforts that address the expanding push for unionization worldwide.  Use the LaborSoft platform to track arbitration schedules, document grievance events, and offer real-time collaboration platforms to centralize critical discussions during labor relations proceedings.

Contact Laborsoft today to learn how we can help you optimize your labor management system.

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