LEGISLATIVE UPDATE
What’s at Stake? The PRO Act could change the way all industry does business in Arizona
T
he PRO Act (Protecting the Right to Organize; HR 842/S 420) attempts to increase union density and union leverage without regard for the negative impacts it would have on workers, businesses and the entire American economy. Currently 94% of Arizona businesses are merit shop (open or non-union shop), with union workers making up 6% of the state’s workforce. As this article is being written, Arizonans have freedom to choose if they would like to participate in an open shop or a union shop. The open shop’s upward mobility, fair wages, work opportunities and labor practices have proven to be the better choice for 94% of the workers who have had to make this decision. Arizonans are individuals who make their own decisions and are responsible for their own actions. Individual rights are extremely important, and the pathways to the pursuit of life, liberty, happiness and personal property should be individually decided. Arizonans have been clear on these decisions, and the result is a vigorous economy that is poised for not only an economic rebound but also an economic boom. Our state’s economic future is at risk if the PRO Act becomes federal law. All sectors of the economy would be at risk. Workers and businesses that have built strong relationships and business models would have to completely restructure to an uncertain future.
20 | July-August 2021
Tom Dunn ABA
Repealing right-to-work protections would strip millions of Americans of the right to refrain from joining a union, hindering private sector growth and business migration to pro-business states such as Arizona. The PRO Act also would strip personal privacy from employees as their personal information, including home address, cell phone number, assigned work shift information and more, would be provided to organizers so they could freely contact the employees. In addition, the death of the secret ballot is included in this act. “Card Check” is the organizers’ preferred way to run an election as the employee’s individual vote is made public, opening the election to acts of intimidation. Not only is the PRO Act an attack on individual freedoms, but it is also an attack on employers’ abilities to protect their own interests. It interferes
with attorney-client confidentiality and makes it harder for businesses, especially small businesses, to secure legal advice on complex labor law issues. The inequity of this act targets small business for future failure. The act also attacks independent contractors by curbing opportunity in the new gig economy. Many of those independent contractor opportunities would be sent overseas to other nations that are eager for the work. Research study from the American Action Forum estimates that up to 8.5% of the gross national product would be at risk if the PRO Act’s “ABC” Test is nationalized. Under this test, a worker is presumed to be an employee unless the employer can show that certain conditions are met. Assembly Bill 5 is California’s provision that reclassifies independent contractors. A statute such as this in Arizona would devastate our high-tech sector, and any efforts to bring high-tech to our state would be in vain. The PRO Act’s removal of secondary boycott protections will lead to “topdown” organizing efforts as many owners, suppliers, contractors and specialty contractors would be at risk for boycotts and business stoppages. This is just the tip of the iceberg. For more details visit opposetheproact.com. Tom Dunn is president of the Arizona Builders Alliance.