A Union Declares Its Workers Are Going on Strike

question 29

Multiple Choice

A union declares its workers are going on strike.The employer states the collective bargaining agreement is still in force for another eight months and that it contains a no-strike clause.The union claims the CBA's no-strike provision is not binding since new union leadership is in place.Which of the following statements is correct?

• A)The union can strike since new leadership is now in control.
• B)The union can strike since no-strike provisions have been ruled by the courts to be unenforceable.
• C)The union cannot strike,as strikes to exert economic pressure on management are prohibited by the NLRA.
• D)The union cannot strike because of the no-strike clause in the contract.

---

Definitions:

Net Income

The final profit amount for a company, which comes after deducting all expenditures and taxes from the gross revenue.

Dividends

Financial rewards paid out to shareholders, mainly coming from the corporation's net income.

Significant Influence

A term referring to the power to participate in the financial and operating policy decisions of an entity but is not control or joint control over those policies.

Accounting Principle

Fundamental guidelines or rules that govern the financial accounting field, ensuring consistency, reliability, and comparability of financial statements.