I have a question

[Uturn2001]

Can a company legally renegotiate a union contract before it expires?

[towstrap]

Sure, UPS and the teamsters are doing it now. It is actually better to renegotiate before the expiration so to avoid the possibility of a strike and allow both sides ample time to work out their differences.

[accremonious]

This is the preferred way to negotiate union contracts. If they can agree to terms and have it ratified before the old contract expires, then this boosts customer confidence and often times sales. If a company negotiates a new contract, then turns around and lays off some or many of the workers and claims that the new contract is killing them, this then was negotiating in bad faith. It usually results in a retaliatory strike at the next negotiations or wild cat illegal strikes immediately if the severity of the bad faith retributions trigger them. Labor management harmony is more than just public relations, it involves real benefits to both parties. Organized workers are usually that way because of prior treatment and industry wide conditions.
Where my son works on the assembly line of automobiles, they have just renegotiated their next three years this spring, and it goes into effect in either Sept. or Oct.! Since the ratification, they have been told that because of the "labor agreement" they will now have work for this plant for some time to come. Their current model will be phased out but replaced with a faster selling model. The current models have not sold well and they have had at least one week off per every 2 months (on 85% take home pay supplemented unemployment fund benefits) in the past 3/4 year. It is my take that they probably will get one of the new hybrids for the new market in energy efficient "green" machines. It is a modern line with the latest in robotics so this would make sense for better utilization of the investment, too!
He has commented that this is the best paying part time job he has ever had!

[Uturn2001]

Are you sure you understand what I am talking about?

I am not talking about negotiating a new contract that picks up as soon as the current one expires, I am talking about having the current contract tossed out before it expires.

[towstrap]

Are you sure you understand what I am talking about?

I am not talking about negotiating a new contract that picks up as soon as the current one expires, I am talking about having the current contract tossed out before it expires.

Very rarely happens but so long as there is an upside for the employees being represented it is possible as well as legal, to the best of my knowledge.

Opie over there, you know where, would be able to answer on the first shot for sure.

[accremonious]

OK now that is a different situation, sorry I misunderstood the concept.
What you are talking about can only happen if the labor laws of the State in which this action is taken allows for that, or if there is a court order ruling it as null and void. A contract is a legal document signed by the authorized personnel representing both the corporation and the bargaining unit that the union members have voted in and support. If a company just tosses it out and tells the workers they are setting new working conditions, they are asking for several things, like a wild cat strike, law suits by the union in the labor courts, etc. In some cases there may even be criminal reprisals. In some jurisdictions such action could bring the State/Province labor inspectors in to audit the actions and activity for violations of the labor act which maybe punishable by fines. In some other jurisdictions, the management have the right to do just that. Often times such an action is accompanied by some corporate black mail that we will have to close this operation down if you do not agree with the suspension of the negotiated signed contract.
It is probable that the only valid answer to your question(s) might have to come from a labor lawyer/law firm that specializes in that field in the State(s) where the activity is planned or announced.
It sounds like it might be a messy situation and many employees who have the mobility will just pack up and move on!
Another thing to watch out for is embittered employees creating sabotage as revenge for the reneging on the negotiated deal! It maybe time to leave the ship if it becomes an unsafe place to work. I have been in one of those in my steel mill days where the contract negotiated had a couple of tricks and traps. By rescheduling the work week and cutting out all overtime days in a continental schedule the men got a 3% decrease instead of a 5% increase. It became a very dangerous place to work until there were some law suits settled and lost! Several serious injuries did occur and very nearly some deaths! The company escaped bankruptcy, just barely and later became very profitable again. Part of the problem was that the men did not believe that everyone had their backs to the wall! Good luck to whom ever is going through this! It can be a very nasty time in ones chosen career.