MPB LOGO

Menu

CDW Opposes Legislation Imposing Government Interference into Private Sector Contracts

On March 4, Senators Hawley (R-MO), Moreno (R-OH), Booker (D-NJ), Peters (D-MI), and Merkley (D-OR) introduced the Faster Labor Contracts Act, which would allow the federal government to set the terms of private contracts without the input or consent from the employees, employers, or unions involved.

The following can be attributed to CDW Chair Kristen Swearingen:

“The Faster Labor Contracts Act is a massive expansion of the federal government’s authority over the private sector. It would allow government bureaucrats to dictate the employment terms of workers via mandatory, binding arbitration, meaning they can set the workers’ wages, benefits, workplace safety standards, pensions, and so on with no oversight by the workers, employers, unions, or even the judicial branch. Arbitrators, many of whom know nothing about running a business or the specifics of the business in question, could impose devastating terms for the employer or workers, and there would be no means of stopping them from running a business into the ground.

“Senator Hawley is clearly working for the union leaders and not the American worker, but we’re disappointed that Sen. Moreno has seemingly lost sight of the principle of free enterprise. This legislation will do nothing for workers but silence them during contract negotiations and the collective bargaining process. If enacted, workers will have no opportunity to weigh in during negotiations or even voice their concerns about a final contract. This is a horrible bill, and the only winners are union bosses who are now incentivized to negotiate in bad faith.”