National Labor Relations Act/Wagner Act

Definition

The Wagner Act was a law passed in 1935 that guarantees basic rights of private sector employees to organize into trade unions, engage in collective bargaining for better terms and conditions at work, and take collective action including strike if necessary.

Analogy

Think of the Wagner Act like a referee in a sports game. Just like how a referee ensures fair play between two teams, the Wagner Act ensured fairness between employers and employees by giving workers the right to form unions and negotiate for better working conditions.

Related terms

Collective Bargaining: Process where working people (through their unions) negotiate contracts with their employers to determine their terms of employment.

Fair Labor Standards Act (FLSA): Federal law which establishes minimum wage, overtime pay eligibility, recordkeeping, and child labor standards affecting full-time and part-time workers in the private sector and in federal, state, and local governments.

National Labor Relations Board (NLRB): An independent agency of the United States government charged with conducting elections for labor union representation and with investigating unfair labor practices.