“If it happens that you don’t agree with one of SHRM’s positions, we ask that if you disagree you please refrain from that discussion.” –Kathleen Coulombe, SHRM Senior Associate for Government Relations, speaking to dues-paying SHRM members at its recent legal and legislative conference on how to lobby members of Congress
Human Resources doesn’t usually conjure up images of adversarial political activism. Yet contrary to its politically neutral image, the innocuously-named Society for Human Resources Management (SHRM, pronounced “sherm”) campaigns for public policies and mounts legal efforts to block workers’ rights. The group, which claims to have grown from 130,000 members in 2000 to now having 275,000 members globally, purports to represent individual human resources professionals across all industries. And indeed, it produces HR resources such as tip sheets and reports on how to comply with the law, workshops and trainings to earn professional certification, a trade magazine, and statistical analyses about the HR industry and the job market.
But lobbying to change the regulatory climate for business is one of its major unspoken goals.
Back in 2000, union-busting lawyer and then chair of SHRM Michael Lotito (from whom we will hear again later), said “If we had a market penetration—let’s say SHRM had 500,000 members, and 250,000 of them were in grassroots networks—we would be heard not because we shouted, but because we threatened to whisper.” SHRM has quietly and steadily grown its lobbying operation to include a half-dozen staffers, a nationwide member lobbying network, a major legal and legislative conference, and even a satellite office in Sacramento, whose sole purpose appears to be lobbying at the California statehouse.
Though its stated mission is to “serve the needs of HR professionals and advance the professional practice of human resource management,” SHRM’s legislative agenda is instead aligned with that of big corporations such as McDonalds, and major GOP donors such as Karl Rove’s Crossroads GPS and the Koch Brothers’ Freedom Partners Chamber of Commerce. Openly working in concert with dark-money business lobbying groups such as the International Franchise Association, the US Chamber of Commerce, and the National Federation of Independent Business, SHRM has been speaking out in the press, filing lawsuits, and pushing state and national bills. These efforts are aimed at blocking the rights of workers to do everything from forming unions, to having guaranteed paid sick days, to getting health insurance under the Affordable Care Act.
Undercover at SHRM’s legislative conference
So how does SHRM speak to its own members about the need to block workers’ rights? I went undercover for Political Research Associates to SHRM’s annual gathering, the Legal and Legislative Conference in Washington, D.C. March 22-24 to find out. More than 650 people attended the conference from all 50 states and D.C., each having paid between $1200 and $1500 for the ticket.
“We’re not going to see successful efforts to mandate paid leave at the federal level,” Mike Aitken, SHRM’s Vice President for Government Affairs, told the assembled members at the conference. Aitken briefly outlined a sophisticated, multi-state strategy for fighting paid leave and higher wages, and not only defunding the National Labor Relations Board (NLRB) – but suing in court to block its decisions. Aitken also alluded to SHRM’s use of member focus groups and questionnaires to form its policy positions. Though we were unable to locate any focus group or questionnaire results regarding policy positions, SHRM did this past week publish the results of a survey of its state legislative directors with questions about how engaged they are with SHRM. However, no actual SHRM members we spoke with said they have ever been contacted for their input on actual policy—and Aitken acknowledged that “our Board is what shapes our policy positions.”1
Other presenters at the conference included employer-side labor lawyers and HR consultants, each delivering a message of “we’re not an anti-union organization, but…” with confidence and uniform consistency. Unlike organizations such as the US Chamber of Commerce and the International Franchise Association(IFA) who co-sign and help to push SHRM’s anti-workers’ rights positions (who explicitly exist only to represent business interests), SHRM brings a grassroots base of HR professionals—people who are used to being peacemakers and finding compromises. In their regular professional practice, they are charged with complying with the law, rather than changing it to restrict the rights of employees. But SHRM tells members that it is also their job to pressure members of Congress and federal agencies to change the regulatory regime in favor of the largest employers.
The Chicken Little approach to “grassroots” anti-worker lobbying
How is SHRM selling its members the case for blocking employees’ rights, such as the right to earn paid sick leave and the right to choose a union? By telling them the sky is falling.
Lotito is now a shareholder in the employer-side labor law firm Littler Mendelson. He gave a session at the conference entitled “The NLRB: New Relevance and New Challenges.” During the session, his voice rising from a conspiratorial whisper to a roar of outrage, sermonizing on how a recent decision from the NLRB’s general counsel to treat McDonald’s franchisees as jointly liable with the headquarters could damage other businesses. He suggested that the joint-liability decision threatens the business-to-business relationships many companies have with their cleaning services, gardeners, and so forth, suggesting that any company could be viewed as somehow liable for the treatment of its subcontractors’ employees.
But the NLRB general counsel’s decision on joint liability narrowly applies only to cases brought by McDonald’s employees against the hamburger chain. As Steven Greenhouse recently reported in The New York Times, “’The Golden Arches is an employer, plain and simple,’ said Micah Wissinger, a lawyer who filed complaints on behalf of several McDonald’s employees in New York. ‘The reality is that McDonald’s requires franchisees to adhere to such regimented rules and regulations that there’s no doubt who’s really in charge.’”
Lotito, who co-chairs his law firm’s “Workplace Policy” subdivision, also criticized the NLRB’s recent decision to significantly shorten the 25-day window of time between when a union files for an election and when the election takes place. The new rule, which SHRM (echoing a US Chamber of Commerce talking point) dubs the “Ambush elections rule” in its printed policy statements and Powerpoint slides throughout the conference, goes into effect April 14.
Lotito’s old firm, Jackson Lewis, has made a lot of money advising employers on how to run an anti-union campaign during the existing 25 day window. As journalist David Bacon wrote in an op-ed for the San Francisco Chronicle back in 2008:
“Campaign tactics include: In the weeks before these tainted elections, 51 percent of employers threaten to close if the union wins; and 91 percent force employees to attend one-on-one anti-union meetings with supervisors. This conduct is effectively unpunishable, making a mockery of free elections. Signing cards is a safer, calmer process that workers control themselves, and workers keep the option of using either the cards or the election – their choice, not their employer’s.”
SHRM is one of a handful of business lobby groups that is suing in federal court to block the rule’s implementation.2
Lotito explained that his firm also provided members of Congress with questions to use in a House Appropriations committee hearing the following day, March 24, on the NLRB’s budget. (You can watch that hearing here. Though we don’t know specifically which questions were provided by Littler, SHRM VP Mike Aitken told those at the conference that SHRM may attempt to fight the NLRB by adding a “rider to defund them through the appropriations process.” )
Having framed SHRM’s participation in the assault on workers’ rights as a matter of defending employers from onerous government regulations, Lotito was ready to unveil the Goliath that he says HR professionals should fear: unions. (He conveniently omitted the fact that unions now only represent just over 6% of the private sector workforce.) Again referring to the McDonald’s joint employer finding, Lotito explicitly named the Service Employees International Union (SEIU) as the enemy:
“What I think is going to happen, what I would do if I were the SEIU, is on April 14th I would file 100 petitions in 20 different states against a whole bunch of franchisees alleging that there is a joint employment relationship between those franchisees and McDonald’s. I will win at least 50 percent of those elections and then I will demand… all kinds of information from McDonald’s Corp with respect to the underlying economics because they are the ones who are really controlling the purse strings with respect to the franchisee, so in order to have meaningful collective bargaining in theory I gotta have the franchisor with me, and I would use that as additional attack points. Or if I was really really really really tricky, on April 11th or 12th I’d go to McDonalds and say that on April 14th I’m going to file for elections, and as a result of that I’m going to bring your organization to a standstill. I’ve got an out for you though. I can be your best friend. I can tell everybody how great you are. All you have to do is agree to neutrality and card check…This is all about increasing union market share.”
Despite its studiously politically neutral and “we’re not anti-union” claims, SHRM has entered the public policy ring unmistakably on the side of big business and against workers’ rights. Whether its members accept its characterization of who the enemy is—and how many of them will unquestioningly sally forth to help block workers’ rights in the ongoing state and federal policy battles—remains to be seen.
 SHRM’s website explains its process for determining policy positions thusly: “SHRM’s Government Affairs team partners with our Research Department to develop survey questions to take the pulse of the membership on what it feels about the issue. Our Research Department may utilize the full SHRM Survey Report or a shorter Question of the Week format to obtain input from our members. In addition, Government Affairs staff gathers information by convening a series of public policy focus groups at the various SHRM national conferences, regional conferences and chapter meetings.
Once this input is gathered, staff develops a proposed public policy statement that is then subject to review by several SHRM Special Expertise panels who have jurisdiction over the subject area for their comment and review. The proposed public policy statement is then presented to the Board of Directors for its review and approval.” http://www.shrm.org/advocacy/publicpolicystatusreports/federal/pages/default.aspx#sthash.rXJAGapV.dpuf
 As economist Ross Eisenbrey noted in the Economic Policy Institute’s blog earlier this month, “The NLRB’s rule does away with an automatic 25-day delay between when employees file an election petition and the election occurs. The National Labor Relations Act does not mandate any such delay, but the anti-union lawyers treated it as a God-given right and claimed its elimination was ‘blowing up the election process’ and a denial of employer free speech rights. You’d think they were kidding, but they at least pretended to be serious.” In actual practice, the old rule has given employers enough time to harass, intimidate, and illegally fire workers involved in a unionization campaign, effectively lowering the number of union elections in US workplaces to 1453 in FY 2014– approximately two one-hundredths of a percent of all US workplaces.