Grievance Arbitration vs. EEOC Complaints

The heart and soul of labor unions is the collective bargaining agreement. What makes the collective bargaining agreement so valuable is binding arbitration. So why is it that unions are sending their cases over to the EEOC for processing? Two reasons: (1) it is easier to drop a case on the EEOC for them to handle rather than to do it themselves; and (2) money. The first reason is self-explanatory. The employee is sent over to EEO and the union representative essentially washes his hands of the case or at least no longer must worry about the processing of the action. The second reason, money, is quite simple – arbitration costs money and the EEOC complaint process is free. But are unions really doing right by their membership? I estimate that as many as one-half of the EEOC cases filed are really grievances in disguise. Interestingly enough, another 25% percent could have probably been effectively brought as grievances. The question is, which is more effective? I estimate our success rate in arbitration cases hovers around 70%. Why shouldn’t it, with an independent third party hearing the cases you have selected to proceed on to arbitration. Whereas national statistics for cases going to a decision by the EEOC reflect a success rate of only about 5-6%. Although we tend to do better than the national average, the success rate in proceeding through the EEOC is nowhere near that of arbitration. Add to the disparity between success at arbitration compared to EEOC and the fact that EEOC is now taking 2-3 years to get a decision, and a person must wonder why EEOC is ever chosen over grievances. Unions need to take a hard look at how they are doing business. Do they go slow, cheap and unsuccessful (through EEOC) or do they want to put their members’ dues to work through arbitration and be much more successful?