Dues (and more)
International Association of Machinists (IAM) dues are very unusual, for two reasons:
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Everyone pays the same amount of dues whether they make a lot or a little. Usually, the more you make the more you pay - a system that's more fair.
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Dues are based on the average hourly rate for all workers, not what you make as an individual.
Here are some problems with the IAM dues system:
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What if you work less than a full week or go on a leave of absence? The IAM doesn’t say anything about that. Apparently, if you work less than 40 hours a week or are on short-term disability, you still pay full dues as if you worked an entire week.
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What if somebody else gets a raise? The average rate of pay goes up, and so do your dues – even though you didn't get a raise.
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What about performance incentives or overtime pay? The IAM does not say “the average hourly base rate,” so those may be included as well. The average hourly rate would go up whenever someone worked overtime or received a performance incentive - and so would your dues.
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What if you're the lowest-paid person in the group? You are the one who can least afford dues, but you still have to pay as much as the highest-paid person.
Different unions charge different monthly dues:
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International Association of Machinists (IAM): “two times the average hourly rate of the workers in the unit, plus some local and/or district fees.”
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United Steelworkers Union (USW): "1.45% of total earnings, plus $.02 per hour, OR a maximum of 2.8 times your average hourly rate, plus $.02 per hour.
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United Auto Workers (UAW): "2.5 hours of straight time pay for members working full time paid on an hourly basis, or 1.44% of gross straight time monthly wages for members paid on a salaried basis and for members employed part-time and paid on an hourly basis."
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Utility Workers Union of America (UWUA): "two times your hourly rate."
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United Mine Workers (UMW): "three times the lowest hourly rate."
It can be expensive to be in a union.
Different unions have different charges.
Before you decide whether you want a union to represent you, it's important to know how much that union would cost.
So how much would dues actually cost?
Suppose you work 40 hours per week in a company where the pay range is from $20.00 to $30.00 per hour, the average pay is $25.00 per hour, and you make $24.00 per hour.
Here's what you'd pay in dues to five different unions:
Why does the IAM use this system?
Maybe because it’s easier for the IAM to track – everybody pays the same rate, so the IAM doesn’t have to figure out what each individual should be paying.
But is this fair to the union members?
Local unions can charge MORE than the amounts required by their International union.
For example, UWUA Local 102 recently raised dues from two times a worker's hourly rate to three times their hourly rate - a 50% increase.
Union members pay more than dues - you also must pay:
"Fees" (such as an initiation fee when you join or a transfer fee if you go to another company that has the same union),
"Special assessments" (whenever the union needs money, such as when a strike somewhere else depletes the strike fund)
Fines (if you're found guilty of breaking union rules).
Often, these additional charges add up to MUCH more than your dues.
What if you don't want to pay?
The union can take you to court. The Machinists Union Constitution says:
“Initiation fees, reinstatement fees, dues and fines shall constitute a legal liability by a member to the Local Lodge. The cost of litigation arising from charges against a member by reason of such liabilities shall constitute a legal debt payable by such member.” (Article F, Section 1, p. 121)
If the IAM has to take you to court because you didn't pay, you will also have to pay the court costs!
THE BOTTOM LINE:
Unions can charge members so many different amounts in so many different ways, that it's IMPOSSIBLE TO KNOW HOW MUCH HAVING A UNION MIGHT COST.