Understanding Labor Contract Interpretation: The Arbitrator's Toolbox
/Understanding Labor Contract Interpretation: The Arbitrator's Toolbox
The North Star: Finding the Parties' True Intent
When a labor dispute reaches arbitration, the arbitrator's primary mission is to uncover what the union and management actually intended when they agreed to specific contract language. This fundamental principle—discovering the parties' mutual intent—guides every aspect of contract interpretation in labor arbitrations.
Skilled arbitrators don't simply rely on rigid, literal interpretations. They dig deeper to uncover what both parties were truly trying to accomplish when they drafted the contested language. Their goal is to effectuate the genuine intent behind the words, not just analyze the words themselves.
Let's explore how arbitrators discover and implement the parties' intent when contract language is disputed.
Context Matters: The Circumstances Surrounding Your Agreement
Arbitrators recognize that contract language doesn't exist in a vacuum. To understand what unions and employers intended, arbitrators examine:
The Negotiation Story
What happened at the bargaining table often reveals what the parties meant by the words they ultimately chose. Arbitrators frequently look at:
Proposals that were accepted or rejected
Explanations offered during bargaining
Previous versions of contract language
For example, if your union proposed specific seniority language for overtime assignments and the employer repeatedly rejected it, an arbitrator will be reluctant to read that protection into vague contract language later. As one arbitrator noted, "a party may not obtain through arbitration what it could not acquire through negotiation."
However, if your union withdrew a proposal after the employer stated it was "unnecessary" because the protection already existed elsewhere in the contract, an arbitrator might view this history differently.
How You've Lived With Your Agreement
Actions speak louder than words. How both parties have applied contract language in practice carries significant weight with arbitrators. When contract wording is unclear, a consistent pattern of implementation can reveal what both sides understood the language to mean.
This "past practice" principle works because arbitrators presume that if one party acted in a certain way and the other party didn't object, both must have understood the contract permitted that conduct.
Industry Customs and Standards
For specialized terms, arbitrators consider how similar language is typically understood in comparable labor agreements. The common understanding of terms in your industry helps reveal what the parties likely intended, particularly when both sides are familiar with industry standards.
Reading Between the Lines: Interpretive Principles
When direct evidence of intent isn't available, arbitrators rely on established principles to determine what the parties most likely meant. These tools help bridge the gap between written words and intended meaning.
The Contract as an Integrated Whole
Arbitrators don't view disputed provisions in isolation. They interpret each section in light of the entire agreement, assuming the parties intended all parts to work together harmoniously. This approach means:
Words used in one section are presumed to have the same meaning throughout the agreement
Specific provisions are viewed as refinements of general provisions
Interpretations that render other provisions meaningless are avoided
Words Matter, But So Does Reasonableness
While arbitrators begin with the ordinary meaning of words, they balance linguistic analysis with practical considerations:
Dictionary definitions provide starting points, not final answers
Technical terms are interpreted according to their specialized meanings
Interpretations leading to absurd or harsh results are disfavored when reasonable alternatives exist
The Significance of What's Left Unsaid
Sometimes what's not in your contract matters as much as what is:
When specific items are listed, those not listed are often presumed to be intentionally excluded
When specific examples are followed by general terms (like "and other similar situations"), the general terms are usually limited to things similar to the examples
Different wording choices in similar provisions suggest different intended meanings
Practical Applications for Union Representatives
Understanding these principles can significantly strengthen your union's position in several ways:
Contract Negotiations
Document discussions about what specific language means
Clearly reject interpretations you don't accept
Be cautious about dropping proposals—explain your reasoning to avoid later misinterpretations
Consider how proposed language fits with existing contract provisions
Contract Administration
Address problematic applications of contract language promptly through grievances
Create written records that clarify understandings when settling disputes
Be consistent in how you apply and interpret your own contract
Grievance Preparation
When preparing for arbitration:
Gather documentation of bargaining history
Identify relevant past practices
Look for similar provisions elsewhere in your agreement that might clarify meaning
Consider how your proposed interpretation affects the contract as a whole
Conclusion: Intent is King
While arbitrators use many tools to interpret contract language, they all serve the same purpose: discovering what the parties truly intended. By understanding these interpretive principles, union representatives can better advocate for interpretations that align with the union's original bargaining objectives and protect members' interests.
