Right Here, Right Now: Indiana Passes Right-to-Work Legislation

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Indiana joins Alabama, Arizona, Arkansas, Florida, Georgia, Idaho, Iowa, Kansas, Louisiana, Mississippi, Nebraska, Nevada, North Carolina, North Dakota, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia and Wyoming as states where forced unionism is prohibited. Several other states are considering right-to-work legislation.

Summary of the Law

Indiana’s Right-to-Work statute (House Bill 1001) took effect February 1, 2012. The statute prohibits a union and an employer from entering into an express or implied contract that requires an individual (not just an employee) to: (1) become a member of a labor organization; (2) pay dues or charges to a labor organization; or (3) pay to a charity or third party an amount that is equivalent to or a portion of dues that would be paid to a labor organization. Any written or oral contract that is “entered into, modified, renewed or extended” after March 14, 2012, is subject to these restrictions. The law does not prohibit so called “dues check off provisions” whereby employers agree contractually to deduct union dues from the paychecks of employees who voluntarily authorize such a deduction. Collective bargaining agreements between an employer and a union that are in effect prior to March 14, 2012, will remain valid for the remainder of their terms, including with respect to existing provisions that require the deduction of dues...

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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