

According to a study published by “UnionProof.com”, Labor consultant Jim Gray estimates that the typical cost of unionization range from $900,000 for a company with 100 employees to more than $4,000,000 for a company with as many as 2000 employees. These costs include training for managers, attorney fees, cost of arbitrations support, and handling of grievances, plus negotiations. It is estimated that companies could expect to spend approximately $400,000 to more than $2,000,000 on a single unionization campaign. Gray’s analysis includes costs for legal fees, travel expenses, meetings with employees, video presentations, lost productivity, and other investments that are often hard to quantify but can add up to thousands – even millions.
The costs are high because many organizations still have a “reactive” approach to their labor relations processes while using many different databases and disparate tools. The lack of streamlined processes and technologies create further problems, such as inefficiencies in preparation for arbitration, memorandums, and issues with missed deadlines. Moreover, organizations are still dealing with repeated disciplinary issues and problematic policies, leaving gaps in insights and reporting resulting in a barrier to informing other downstream processes.
Here is how Sodales Labor Relations software, a fully integrated, all-in-one platform with full extensibility for SAP and 3rd party HR systems, can help.
If you would like to learn more about the Sodales Labor Relations software, please contact us at info@sodalessolutions.com for a personalized demonstration.