closed shop


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closed shop

a requirement that all employees in a given workplace or organization be members of a specified TRADE UNION. There are two types of closed shop:
  1. pre-entry closed shop, where union membership is necessary to gain employment;
  2. post-entry closed shop, where union membership is necessary once employment has commenced.

The pre-entry closed shop, traditionally found in parts of the printing and food wholesaling industries, was often unilaterally imposed by unions, whereas the post-entry closed shop has often been formally recognized in Union Membership Agreements with managements. Many managers found the post-entry closed shop advantageous since it helped to ensure that union representatives speak for all employees. However, it can be viewed as an infringement of individual rights. See CONTRACT OF EMPLOYMENT.

closed shop

a requirement that all employees in a given workplace or ORGANIZATION be members of a specified TRADE UNION. Closed shops are often imposed by powerful trade unions as a means of restricting the supply of labour and maintaining high wage rates for members. See SUPPLY-SIDE ECONOMICS.