Agency shop

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Agency shop is a labor contract provision that requires employees to contribute a sum of money equal to union membership dues but does not require the employee to join the union. The employee benefits from collective bargaining by the union and in turn gives financial support to the union for negotiations, contract administration, and other actions.


Definitions

According to Labor Relations and Collective Bargaining by Michael R. Carrell and Christina Heavrin (10th edition),

Agency shop. A labor contract provision that requires employees to contribute a sum of money equal to union membership dues but does not require the employee to join the union. The employee benefits from collective bargaining by the union and in turn gives financial support to the union for negotiations, contract administration, and other actions.

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