Policy Watch

Workplace Governance



Government policies affect a wide range of workplace issues, especially the relationship between employers and employees. The pace and complexity of change also affect workplace governance. As a result, clear, balanced rules and guidance on governance issues are critical to creating better workplaces.


  • Labor-Management Relations: SHRM supports balanced labor management relations and recognizes the right of employees to form or join a union – and the right of employers to obtain advice on these matters. Decisions should follow democratic principles, including an open flow of information and a secret ballot that ensures majority interest prevails. 
  • Minimum Wage: Since the federal minimum wage has not changed since 2009, SHRM believes a reasonable increase, phased in over time to recognize the impact on small businesses, is warranted.
  • Employment Relationships: SHRM supports the ability of employers to enter into non-compete agreements with employees as an essential protection of their intellectual property. SHRM also supports arbitration clauses as an effective tool for employers and employees to resolve issues without costly and protracted legal processes.

Bottom Line
To ensure workplaces function to the benefit of employers and employees and to avoid unintended consequences that hurt employers, employees and the overall economy, a range of perspectives should be considered in developing workplace governance policies.

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