Yellow-dog Contracts

Definition

A yellow-dog contract is an agreement between an employer and an employee in which the employee agrees not to join a union during the term of employment.

Analogy

Imagine signing up for a gym membership that prohibits you from joining any other fitness clubs. A yellow-dog contract works similarly; once signed, employees are barred from joining labor unions.

Related terms

Right-to-work laws: These laws prohibit agreements between labor unions and employers that make membership in a union, payment of union dues, or fees a condition of employment.

Closed Shop: This is a form of union security agreement where the employer agrees to hire only labor union members.

Open Shop: In contrast to closed shop, this refers to a workplace where workers are not required to join or pay dues to a labor union as a condition for being hired or keeping their jobs.