Why do lockouts occur

Follow us on Facebook and Twitter. Partner with us to increase the impact of your research. Topics Labor Economics Sports Unions. Endnotes Michael H. Paul D. Sidenotes a Lockouts are initiated by the owners, typically when they are afraid players will strike at a potentially disastrous moment. For example, if owners worry that players will strike right before the playoffs, when their leverage is highest, then it may make sense to lock them out before the season starts.

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In broad terms, the code provides that the only people who may perform the work of the striking bargaining-unit employees are management people who work at the same location and non-bargaining unit employees who also work at the same location and consent to performing such work. In either situation, the replacement employee must have worked at that location prior to the date that notice to bargain was delivered. The board provides a series of online resources covering strikes, lockouts, picketing and the use of replacement workers in much greater detail.

You are encouraged to examine these resources carefully by visiting the following sites:. The information provided in this article is necessarily of a general nature and must not be regarded as legal advice. This article may not be republished without the express permission of the copyright owner identified in the article.

Toggle navigation. The strike may be periodic e. A strike may stop and start. A strike may also be partial, with only certain workers going out or with only certain duties refused. These tactics are often much more disruptive to the employer than an ongoing strike.

They also reduce the financial pinch felt by workers. For these reasons, employers often issue a lockout notice when they receive a strike notice. This allows the employer to refuse to allow workers to do their jobs and, thus, makes the strike more manageable for the employer. A lockout occurs when the employer refuses to allow workers to perform their jobs.

Its purpose is to apply pressure to the union to change its position at the bargaining table. Employers may lock the workers out indefinitely. Or an employer may opt for a short lockout followed by telling workers to return to work. This short lockout is commonly called a hour lockout, although the exact duration one hour, one day, one week is immaterial. One of the things that happens when there is a lockout or a strike is that the old collective agreement that was continuing operating under the bridging provisions of the Labour Relations Code ceases to exist.

The only way for workers to resist this tactic is for the union to go on strike. For this reason, unions typically respond to an employer serving lockout notice by serving strike notice. The consequences of a work stoppage are usually very significant for both the employer and the workers. Consequently, the threat of a work stoppage is often enough to cause one or both sides to moderate their demands and, thereby, move closer to a mutually acceptable agreement.

This creates the paradox that the threat of conflict often prevents conflict. For this dynamic to operate properly, each side needs to have a credible strike or lockout threat. Consequently, AUFA must prepare for a strike each round of bargaining as well as be prepared to execute a strike. Having credible strike threat raises the cost to AU of stonewalling at the bargaining table.

The employer is not required to provide any wages during a strike or a lockout. This money is distributed through AUFA. Typically eligibility for strike pay is contingent upon participating in strike activities e.