Olms interpretative Manual

STATUTORYDEFINITIONS

040.101LMRDA,SECTION3(a)

"COMMERCE" means trade, traffic, commerce, transportation, transmission, orcommunicationamongtheseveral StatesorbetweenanyStateandanyplaceoutsidethereof.See030.100.

040.201LMRDA,SECTION3(b)

"STATE" includes any State of the United States, the District of Columbia, Puerto Rico, theVirgin Islands, American Samoa, Guam, Wake Island, the Canal Zone, and Outer ContinentalShelf-landsdefinedintheOuterContinentalShelfLandsAct(43U.S.C.1331-1343).

040.202SEE29 CFR401.2

040.301LMRDA,SECTION3(c)

"INDUSTRY AFFECTING COMMERCE" means any activity, business, or industry incommerce or in which a labor dispute would hinder or obstruct commerce or the free flow ofcommerce and includes any activity or industry "affecting commerce" within the meaning of theLaborManagementRelationsAct, 1947,asamended,ortheRailwayLaborAct,asamended.

SeeManual Entry030.200.

040.401LMRDA,SECTION3(d)

"PERSON" includes one or more individuals, labor organizations, partnerships, associations,corporations, legal representatives, mutual companies, joint-stock companies, trusts,unincorporatedorganizations,trustees,trusteesincasesundertitle11oftheUnitedStatesCode,orreceivers.

040.402SEE29 CFR401.4

040.501LMRDA,SECTION3(e)

"EMPLOYER" means any employer or any group or association of employers engaged in anindustry affecting commerce (1) which is, with respect to employees engaged in an industryaffecting commerce, an employer within the meaning of any law of the United States relating tothe employment of any employees or (2) which may deal with any labor organization concerninggrievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work, andincludes any person acting directly or indirectly as an employer or as an agent of an employer inrelation to an employee but does not include the United States or any corporation wholly ownedbytheGovernment oftheUnited States oranyStateorpolitical subdivision thereof.
See Manual Entry 030.400.040.601LMRDA,SECTION3(f)
"EMPLOYEE" means any individual employed by an employer, and includes any individualwhose work has ceased as a consequence of, or in connection with, any current labor dispute orbecause of any unfair labor practice or because of exclusion or expulsion from a labororganizationin anymannerorforanyreason inconsistent with therequirements ofthis Act.
See Manual Entry 030.500.040.701LMRDA,SECTION3(g)
"LABOR DISPUTE" includes any controversy concerning terms, tenure, or conditions ofemployment, or concerning the association or representation of persons in negotiating, fixing,maintaining, changing, or seeking to arrange terms or conditions of employment, regardless ofwhetherthedisputants standin theproximaterelation ofemployerand employee.

040.702SEE29 CFR401.7

040.801LMRDA,SECTION3(h)

"TRUSTEESHIP" means any receivership, trusteeship, or other method of supervision orcontrolwherebyalabor organization suspendstheautonomyotherwise availabletoasubordinatebodyunderits constitution orbylaws.

See Manual Entries 300.001 ff.040.901LMRDA,SECTION3(i)
"LABOR ORGANIZATION" means a labor organization engaged in an industry affectingcommerce and includes any organization of any kind, any agency, or employee representationcommittee, group, association, or plan so engaged in which employees participate and whichexists for the purpose, in whole or in part, of dealing with employers concerning grievances, labordisputes, wages, rates of pay, hours, or other terms or conditions of employment, and anyconference, general committee, joint or system board, or joint council so engaged which issubordinate to a national or international labor organization, other than a State or local centralbody.
See Manual Entries 030.601ff.(TechnicalRevisions:Dec.2016)
041.101LMRDA,SECTION3(j)
Alabororganizationshall bedeemedto be engagedin anindustryaffecting commerceifit--

1. 
   is the certified representative of employees under the provisions of the National LaborRelationsAct, as amended,ortheRailwayLabor Act, as amended, or;
   
2. 
   although not certified, is a national or international labor organization or a local labororganization recognized or acting as the representative of employees of an employer or employersengagedin an industryaffectingcommerce; or
   
3. 
   has chartered a local labor organization or subsidiary body which is representing or activelyseekingtorepresentemployees ofemployerswithin themeaningofparagraph(1)or(2);or
   
4. 
   has been chartered by a labor organization representing or actively seeking to representemployees within the meaning of paragraph (1) or (2) as the local or subordinate body throughwhich such employees may enjoy membership or become affiliated with such labor organization;or
   
5. 
   is a conference, general committee, joint or system board, or joint council, subordinate to anational or international labor organization, which includes a labor organization engaged in anindustry affecting commerce within the meaning of any of the preceding paragraphs of thissubsection,otherthan aStateorlocalcentral body.
   

See030.300.

041.201LMRDA,SECTION3(k)

"SECRET BALLOT" means the expression by ballot, voting machine, or otherwise, but in noevent by proxy, of a choice with respect to any election or vote taken upon any matter, which iscast in such a manner that the person expressing such choice cannot be identified with the choiceexpressed.

See29CFR452.97(a).

041.301LMRDA,SECTION3(l)

"TRUSTINWHICHALABORORGANIZATIONISINTERESTED"meansatrustorother

fund or organization (1) which was created or established by a labor organization, or one or moreofthetrusteesoroneormoremembersofthegoverning bodyofwhichisselectedorappointedbyalabororganization, and (2)aprimarypurpose ofwhich is to providebenefits forthemembersofsuch labororganization ortheirbeneficiaries.
(Revised:2021;TechnicalRevisions:Dec.2016)
041.305TAXICABDRIVERSLOANFUND

A "Taxicab Drivers' Accident Repair Loan Fund--Contingency Fund" of a local labororganization(1)whichwascreatedasapartof acollectivebargainingagreementbetweenthecabcompanies and the union, (2) which is financed entirely by contributions from the employer (cabcompanies), (3) which is administered by trustees, all of whom are selected by the union and areunion officers, and (4) the purpose of which is to provide interest-free loans to union members toenable them to repair accident damages to their taxicabs, was found to be a "trust in which a labororganizationisinterested"withinthemeaningofthedefinition insection3(1)of LMRDA.

The above-mentioned definition includes "a trust or other fund or organization". . ."one or moreof the trusteesor one ormore membersof thegoverningbodyofwhichisselectedorappointedbyalabororganization,and(2)aprimarypurposeofwhichistoprovidebenefitsforthemembers "As indicated bythefacts above,the"Fund" clearlycomes within thisdefinition.

Inasmuch as the "Fund" is financed by contributions from employers, which are considered tohavebeenmadetounionofficerswhoarethetrustees,andsincethere arenoemployertrusteesofthe "Fund," it appears that the payments are in violation of section 302 of the Taft-Hartley Act(assuming the Fund was created subsequent to its passage). The exceptions in section 302(c)(5)and (6) do not apply since the "Fund" is not administered in accordance therewith nor is the"Fund"itselfoneofthetypespelled out in thosesubsections.

Accordingly, reports from the employers who contributed to the "Fund" are required pursuantto section 203(a)(1) of LMRDA, and reports from union officers who received payments fromemployersarerequired pursuant to section 202(a)(1).

The "Fund" in question cannot be regarded as a "subsidiary organization" as that term isdefined in the Instructions for the LM-2 because it is not financed by the labor organization.Neither may it be regarded as a Welfare Benefit Plan under the predecessor statute to theEmployee Retirement Income Security Act of 1974 (ERISA) since, as a general rule, the makingofloans does not constituteprovidingbenefits within themeaningofthat law.

(TechnicalRevisions:Dec.2016)

041.310FEDERALCREDITUNIONS

Federal credit unions "affiliated" with a labor organization are not trusts in which a labororganization is interested inasmuch as no member of the governing body of the credit union isselectedor appointedbythelabororganization.Furthermore,afederalcreditunionisnotcreatedorestablishedbyalabor organizationsince, under theFederalCredit UnionLaw(12U.S.C.

1771),itmustbecreatedbynatural persons.Other factorsleadingtothe aboveconclusionare:(1)Board members of the credit union must be elected by the "membership" of the credit union, (2)Treasurers of federal credit unions must be bonded under the Federal Credit Union Law, and (3)Federalcredit unions areauditedbyan agencyoftheUnited States Government.

041.320PROFIT-SHARINGPLAN

Anordinarytypeofcashprofitsharingprogram inwhich themoneyin atrust fund (establishedand administered solely by the employer in accordance with a collective bargaining agreement) isdistributed to employee-union members according to a specified formula every three months, isnot a "trust in which a labor organization is interested." Even though the primary purpose of thetrust fund was to provide benefits for the employee-members, it cannot be said that it wasestablished or created by a labor organization unless the labor organization is a party to a specifictrustinstrument.

Ofcourse,ifaprofit-sharingprogramprovidesbenefitsatorafterretirement,thereportingandbondingprovisions oftheEmployeeRetirementIncomeSecurityActmayapply.

041.330TRUSTCREATEDBYNOWDEFUNCTLABORORGANIZATION

The "Trust in which a labor organization is interested" continues, even though the labororganization is no longer in existence, whenever the members of the former labor organizationandtheirbeneficiariesorbothstillcould receivebenefitsfrom that trust.

(Revised:Dec.2016)
041.340"BENEFITS"FORUNIONMEMBERSINCLUDERECREATIONALFACILITIESTheterm"benefits"as usedin thedefinition ofa"trustin whichalabororganization is
interested" in section 3(1) of the Act is considered broad enough to include organizations likebuildingassociationsestablishedbyaunionorunions toprovide,amongotherthings,recreationaloutletsforunion members, retireesand others.

041.401LMRDA,SECTION3(m)

"LABORRELATIONSCONSULTANT"meansanypersonwho,forcompensation,advisesorrepresents an employer, employer organization, or labor organization concerning employeeorganizing,concertedactivities, orcollectivebargainingactivities.

041.402SEE29 CFR401.13

041.405ASSOCIATIONASCONSULTANT

Where an employer association's corporate charter provides, in part, that the corporation shall"represent, aid and advise members in connection with labor problems, with a view to establishinglasting relations between employer and employees or the duly chosen representatives ofemployees,andtheeliminationoflabordisputes,stoppageofoperationsanddisturbances...,"and where its bylaws provide that the grievance committee shall "negotiate and arbitrategrievances under agreements with any labor organization," the corporation is a labor relationsconsultantwithin themeaningoftheAct, assumingthereis amembershipfee.

041.410INDUSTRIALCOUNCIL

If an industrial council received dues which entitle members to its services in variousarbitration conciliation, negotiation, and personnel matters, providing such services "forcompensation"in thiswaywould plainlybringthecouncilwithin thedefinitionofa"laborrelationsconsultant"in section 3(m)oftheAct.

041.420EXTENTOFLABORSERVICESIMMATERIAL

An association which has membership fees and which as a membership service, engages innegotiation of labor contracts with Teamster and Carpenter locals and represents members inmediation disputes, although these activities constitute only a small part of the association's totalactivities, is a "labor relations consultant" within the meaning of section 3(m) of the Act. Theprecise extent to which such services may be rendered is immaterial as far as the applicability ofthedefinition in section 3(m)is concerned.

(TechnicalRevisions:Dec.2016)

041.501LMRDA,SECTION3(n)

"OFFICER"meansanyconstitutionalofficer,anypersonauthorizedtoperformthefunctionsof

president, vice president, secretary, treasurer, or other executive functions of a labor organization,andanymemberofits executiveboard orsimilargoverningbody.
See29CFR452.17through452.22.041.601 LMRDA,SECTION3(o)
"MEMBER" or "MEMBER IN GOOD STANDING," when used in reference to a labororganization, includes any person who has fulfilled the requirements for membership in suchorganization, and who neither has voluntarily withdrawn from membership nor has been expelledor suspended from membership after appropriate proceedings consistent with lawful provisions oftheconstitution and bylaws ofsuch organization.

041.602SEE29 CFR401.15

041.701LMRDA,SECTION3(p)

"SECRETARY"meanstheSecretaryofLabor.

041.702SEE29 CFR401.16

041.801LMRDA,SECTION3(q)

"OFFICER,AGENT,SHOPSTEWARD,OROTHERREPRESENTATIVE,"whenusedwith

respect to a labor organization, includes elected officials and key administrative personnel,whetherelectedorappointed(such asbusinessagents,heads ofdepartmentsormajorunits,andorganizers who exercise substantial independent authority), but does not include salariednonsupervisoryprofessional staff, stenographicand servicepersonnel.

041.901LMRDA,SECTION3(r)

"DISTRICT COURT OF THE UNITED STATES" means a United States district court and aUnitedStates court ofanyplacesubjectto thejurisdictionoftheUnitedStates.