UNION SECURITY CLAUSE

Definition: It secures the status of the union as the SEBA for the duration of the CBA.

VARIOUS FORMS OF UNION SECURITY ARRANGEMENTS

1. Closed shop agreement;

2. Maintenance of membership agreement;
3. Union shop agreement;
4. Modified union shop agreement;
5. Agency shop agreement; or
6. Preferential hiring agreement.

1. Closed-shop Agreement

“All employees of the bargaining unit shall join the SEBA and maintain such membership
in good standing for the duration of the agreement as a condition for his/her continued
employment.”

• A scheme in which, by agreement between the employer and its employees or their
representatives, no person is allowed to be employed in any departments of the
enterprise unless he/she, becomes and, for the duration of the agreement, remains a
member in good standing of a SEBA entirely comprised of or of which the employees in
interest are a part.
• This kind of agreement stipulates the undertaking by the employer not to hire or employ
any person who is not a member of the SEBA.
• Once employed, it is required that the said person should remain a member of the SEBA
in good standing as a condition for his/her continued employment, at least during the
whole duration of the CBA.
• This requirement for the employees to become members of the SEBA as a condition for
their continued employment redounds to their benefit and advantage because by holding
out to loyal members a promise of employment in the closed shop, the union wields group
solidarity.

2. Maintenance of Membership Agreement

“Employees of the bargaining unit who are members of the SEBA and who shall thereafter
become members of the SEBA must maintain their union membership as a condition for
their continued employment.”

• There is maintenance of membership agreement when employees who are SEBA

members as of the effective date of the agreement, or who thereafter become its
 members, must maintain their union membership as a condition for their continued
employment until they are promoted or transferred out of the bargaining unit, or the
agreement is terminated.
• Its role is to protect the SEBA’s current membership.
• By its express terms, it covers and renders continued union membership compulsory for:
(1) those who were already SEBA members at the time the CBA was signed; and
(2) the newly-hired employees who will become regular during the lifetime of the CBA.
• This form of union security clause is considered the mildest because it does not require
non-members of the CEBA to join the latter but simply stipulates that those who are its
members at the time of the execution of the CBA and those who may, after its execution,
on their own, voluntarily join it, should maintain their membership in good standing
therein for the whole duration of the CBA as a condition for their continued employment
until they are promoted or transferred out of the bargaining unit or the agreement is
terminated.
• Employees who are not members of the SEBA at the time of the execution of the CBA are
not, in any manner, required to become its members. Employees hired after the
execution of the CBA are likewise not duty-bound to join it. They may or may not join it.

3. Union Shop Agreement

“All new regular members of the bargaining unit are required to join the SEBA within a
period of six months or upon their regularization as a condition for their continued
employment.”

• There is union shop agreement when all new regular employees are required to join the
SEBA within a certain period as a condition for their continued employment. Its role is to
compel membership of those who are not yet SEBA members.
• Under this scheme, the employer is given the freedom to hire and employ any person
who is not a member of the SEBA.
• Once such person becomes an employee, he is required to become a member of the SEBA
and to remain as such member in good standing for the whole duration of the effectivity
of the CBA as a condition for his continued employment.

4. Modified Union Shop Agreement

“All members of the bargaining unit who are not SEBA members at the time of the
execution of the CBA are not required to join the SEBA. However, all newly hired employees
are required to be members of the SEBA at the time of the execution of the CBA within a
period of six months from their date of employment and shall maintain such membership
in good standing as a condition for their continued employment.”
• Employees under this arrangement who are not SEBA members at the time of the signing
or execution of the CBA are not required to join it. However, any and all workers hired or
employed after the signing or execution of the CBA are required to join the SEBA.

5. Agency Shop Agreement

“All employees who are not SEBA members who wish to avail of the benefits of the CBA
under this contract shall pay the SEBA an agency fee equivalent to their regular monthly
dues.”

• Under this scheme, there is no requirement for non-members of the SEBA to become its
members. However, it is required that such non-SEBA members should pay to the SEBA
an agency fee as a condition for their continued employment.
• The third sentence of Article 259 (e) [248(e)] of the Labor Code validates this
arrangement.

6. Preferential Hiring Agreement

“The Company agrees that in the event of the death or resignation of an employee, it shall
give hiring preference a relative within the fourth degree of consanguinity provided that
they maintain membership in good standing in the SEBA for the entire duration of the CBA
as a condition for their continued employment.”

• It is the principal feature of this arrangement that the employer gives preference in hiring
to the members of the SEBA under equal circumstances and qualifications. Once hired or
employed, they are required to maintain their membership in good standing in the SEBA
for the entire duration of the CBA as a condition for their continued employment.

7. Closed Shop with Preferential Hiring Agreement (additional)

“All employees of the bargaining unit are required to be members of the SEBA and
maintain such membership in good standing for the duration of the agreement as a
condition for his/her continued employment. In the event of the death or resignation of
an employee, the Company agrees to give hiring preference a relative within the fourth
degree of consanguinity provided that they maintain membership in good standing in the
SEBA for the entire duration of the CBA as a condition for their continued employment.”