Railway Labor Act is a U.S. federal law that deals with labor disputes between railroad and airline companies and their employees. Its main purpose is to prevent strikes that might endanger the economy or create a national emergency.
The act was designed to bring about settlements through negotiation, mediation, arbitration, or, if necessary, through the investigation and recommendations of an emergency fact-finding board appointed by the President. The act has no provision that can force the parties to reach an agreement. However, it does require that employees not strike for a period of 60 days after the appointment of a fact-finding board. If the employees reject the board’s recommendations, they are then free to go on strike after the 60 days.
Two federal agencies administer the Railway Labor Act. The three-member National Mediation Board can invoke the act on its own or upon the request of employers or employees. The board also handles disputes concerning railroad and airline employee representation and negotiation of new contracts. The 36-member National Railroad Adjustment Board decides disputes involving grievances or the interpretation of existing agreements. It has jurisdiction only over railroads and their employees.
The Railway Labor Act was passed by Congress in 1926, and has since been amended several times. The original act applied only to railroads. The railway industry received early Congressional attention because its unions were strong, and it was feared that a series of railroad strikes might be dangerous for the economy. In 1936, the act was amended to make it apply also to labor relations between airlines and their employees.
The Railway Labor Act proved successful in helping avoid major strikes until the early 1940’s. In 1941, the railroads prevented a strike by granting wage increases that were much higher than the emergency board’s recommendations. It soon became common for companies and unions to reject board recommendations. Since the early 1960’s, most railroad and airline strikes have been prevented by emergency actions outside the Railway Labor Act. During a railroad dispute in 1963, Congress passed an emergency measure demanding compulsory arbitration. There has since been increasing pressure for revision of this act, which was once considered a model labor law.
