Legal Definitions - whipsaw strike

A whipsaw strike is a strategic labor tactic where a union, during collective bargaining, targets one employer or one facility of a multi-facility employer with a strike, while allowing other employers or facilities to continue operating. The goal is to secure favorable concessions from the struck entity, then use that agreement as leverage or a precedent to pressure the remaining, non-struck employers or facilities into accepting similar terms. This strategy aims to isolate and pressure individual employers, who face the economic hardship of a strike while their competitors or sister facilities remain operational.

Here are a few examples to illustrate this concept:

• Example 1: Multiple Competing Companies

  Imagine a union representing delivery drivers for three major package delivery services: "Rapid Parcel," "Express Logistics," and "Swift Couriers." During contract negotiations, the union decides to call a strike only against "Rapid Parcel." As "Rapid Parcel" struggles with halted operations and loses business to its competitors, it eventually agrees to a new contract that includes a significant wage increase and improved benefits. The union then approaches "Express Logistics" and "Swift Couriers," demanding similar terms. They argue that "Rapid Parcel" has already set the new industry standard, and if the other companies refuse, the union threatens to initiate strikes against them next, using the "Rapid Parcel" agreement as a powerful bargaining chip.

  This illustrates a whipsaw strike because the union selectively struck one company, secured a favorable deal, and then used that deal to pressure its competitors into similar concessions.

• Example 2: Multiple Facilities of a Single Company

  Consider a large national supermarket chain, "FreshHarvest Grocers," which operates several regional distribution centers across the country. The union representing the warehouse workers is negotiating a new master contract for all locations. Instead of striking all warehouses simultaneously, the union initiates a strike solely at the "FreshHarvest Grocers" distribution center in the Northeast. This creates significant supply chain disruptions for stores in that region, putting immense pressure on the company to resolve the strike quickly. Once a new agreement is reached for the Northeast warehouse, perhaps including a higher employer contribution to retirement plans, the union then uses this specific agreement as a benchmark to demand the same improved retirement terms for workers at the other "FreshHarvest Grocers" warehouses nationwide.

  This demonstrates a whipsaw strike because the union targeted a single facility of a larger entity, won a concession, and then leveraged that win to demand similar terms across the company's other locations.

• Example 3: Focus on Specific Concessions

  A union represents manufacturing employees across three different factories owned by "Global Tech Solutions," all producing various electronic components. The union is particularly focused on securing better workplace safety protocols and a specific bonus for employees working with hazardous materials. They launch a strike exclusively at Factory C, which produces a critical, high-demand component for the company's most profitable product line. Under pressure to resume production and avoid significant financial losses, Factory C agrees to implement the new safety protocols and the hazardous work bonus. The union then uses this agreement as a precedent, demanding that Factories A and B adopt the identical safety protocols and bonus, threatening strikes if they do not comply, leveraging the company's prior concession at Factory C.

  This example shows a whipsaw strike where the union strategically struck one factory to gain specific concessions, then used that success to push for the same terms at the company's other factories.