1 U.S. Department of Labor Office of Labor-Management Standards (OLMS) Filing Revised Form LM-30 An Overview of Union Officer and Employee Reporting

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U.S. Department of LaborOffice of Labor-Management Standards

(OLMS)

Filing Revised Form LM-30

An Overview of Union Officer

and Employee Reporting

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NOTE

• This presentation is about revised Form LM-30, Labor Organization Officer and Employee Report, which is the required form for reports covering a labor organization official’s fiscal year beginning August 16, 2007 and thereafter. Reports covering fiscal years beginning before that date may be filed on the current Form LM-30.

• This presentation, with very minor editorial changes, is the same as the presentation at an October 9, 2007 public seminar at the Department of Labor.

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Introduction

• Employers whose employees their union represents

• Certain other employers

• A business that deals in substantial part with employers whose employees their union represents

• A business that deals with their union or with a trust in which their union is interested

The Labor-Management Reporting and Disclosure Act (LMRDA) requires union officers and certain employees to file a report annually with the Department of Labor’s Office of Labor-Management Standards (OLMS) if during the year, they, their spouse, or their minor child (under age 21) received gifts or payments from, engaged in certain activities with, or had certain financial interests involving:

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Clerical or Custodial Employees

• Employees who perform exclusively clerical or custodial functions do not have to file a Form LM-30.

• Clerical functions are those involving typing, filing, data entry, note-taking, or similar duties lacking decision-making authority.

• Custodial functions are those associated with janitorial or routine maintenance tasks.

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Payments from Represented Employers

1. Union officers or employees must file a Form LM-30

if they or their spouse or minor child had any of the following

interests or dealings related to an employer whose employees

their union represents or is actively seeking to represent:

- Held any stock, bond, security or other interest in such

an employer;

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Payments (cont.)

- Derived any income or any other benefit with monetary

value (including reimbursed expenses) from such an

employer (except for payments and benefits as a bona fide

employee of the employer)

- Received a loan from, or made a loan to, such an

employer;

- Engaged in any other business transaction or arrangement

with such an employer that was not a purchase or sale of

goods or services in the regular course of business at

prices generally available to any employee of the employer.

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Exceptions to ReportingExceptions to the Reporting Requirements Relating to aRepresented Employer

Holdings of, transactions in, or income from, bona fideinvestments in (1) securities traded on a securities exchangeregistered as a national securities exchange under theSecurities Exchange Act of 1934 (e.g. the New York Stock

Exchange,NASDAQ, etc.), (2) shares in an investment company registeredunder the Investment Company Act of 1940, or (3) securities ofa public utility holding company registered under the Public UtilityHolding Company Act of 1935 do not have to be reported.

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Exceptions to Reporting

Holdings of, transactions in, or income from, bona fideinvestments in other securities that are of insubstantial value oramount and occur under terms unrelated to the official’s statusin a labor organization do not have to be reported. Holdings ortransactions involving $1,000 or less and receipt of income of$100 or less in any one security are considered insubstantial.

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De Minimis Exception

Payments or gifts totaling $250 or less from any one source do not have to be reported (payments or gifts valued at $20 or less do not need to be included in determining whether the $250 threshold has been met).

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Widely Attended Gatherings

• You do not have to report the benefits, such as food and entertainment, that you receive while in attendance at one or two widely attended gatherings in a single fiscal year for which an employer or business has spent $125 or less per attendee per gathering.

• A gathering is widely attended if a large number of people are in attendance and the attendees include union officials and a substantial number of individuals with no relationship to a union or to a section 3(l) trust of the union.

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Widely Attended Gatherings (cont.)

• You do not have to include the value of these gatherings in determining whether the $250 threshold has been met for the employer or business providing the event.

• If you attend more than two such events provided by an employer or business, you must count the value of each event.

• If the benefit for a single event exceeds $125, you must include the value of the event in determining whether the $250 threshold has been met.

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Financial Institutions That Are

Represented Employers • Credit card transactions (including unpaid balances) and

• Interest and dividends paid on savings accounts, checking accounts, and certificates of deposit

Do not have to be reported if the payments and transactions are based upon the institution’s own criteria and made on terms unrelated to the official’s status in the labor organization

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Bona Fide Employee

Payments and benefits received as a bona fide employee of

the employer do not have to be reported.

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Are Union Stewards Considered to be Union Employees?

For purposes of Form LM-30, stewards receiving union

leave/no-docking payments from an employer or lost time

payments from a union are considered to be employees of

the union.

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Must Such Stewards File Form LM-30? No report is required if they receive 250 hours or less of

union leave/no-docking or lost time payments

Unless the union leave/no docking payments are not made

pursuant to a collective bargaining agreement.

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Payments Not Made Under a

Collective Bargaining Agreement Union leave/no-docking payments must be reported if they

are not made under a collective bargaining agreement, but if

they are for 250 hours or less, the steward does not have to

report anything else on Form LM-30.

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Payments for More Than 250 Hours A steward who receives more than a total of 250 hours of

union leave/no-docking and/or lost time payments is subject to all the Form LM-30 reporting requirements. (Lost time payments from the union are not required to be reported.)

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Other Employers 2. Union officers or employees must file a Form LM-30 if they

or their spouse or minor child received any payment of money or other thing of value from an employer or a labor relations consultant for an employer that:

- is in competition with an employer whose employees

their labor organization represents or is actively seeking to

represent;

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TrustsUnion officials must file a Form LM-30 if they or their spouse or minor child received any payment of money or other thing of value from an employer that is “a trust in which a labor organization is interested” which is defined as a trust or other fund or organization that:

Either was created by the labor organization or one or more of its trustees or governing board members were selected by the labor organization, and

Has as a primary purpose providing benefits for the labor organization members or their beneficiaries.

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Not-For-Profit Organizations

Union officials must file a Form LM-30 if they or their spouse or minor child received any payment of money or other thing of value from an employer or a labor relations consultant for an employer that:

- is a not-for-profit organization that receives or is actively and

directly soliciting (other than by mass mail, telephone bank, or

mass media) money, donations, or contributions from their

labor organization.

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Certain Labor Organizations Union officers or employees must file a Form LM-30 if they ortheir spouse or minor child received any payment of moneyor other thing of value from an employer or a labor relationsconsultant to an employer that:

- is a labor organization that:

• has employees their union represents or is actively seeking to represent,

• has employees in the same occupation as those represented by their union,

• claims jurisdiction over work that is also claimed by their union,

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Labor Organizations (cont.)- is a labor organization that:

• is a party to or will be affected by any proceeding in which they have voting or policy-influencing authority, or

• has made a payment to them for the purpose of influencing the outcome of an internal union election

However, a report is not required for any payment from theofficial’s labor organization or from a labor organizationaffiliated with the official’s labor organization.

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Conflicting InterestsUnion officials must file a Form LM-30 if they ortheir spouse or minor child received any payment ofmoney or other thing of value from an employer or a laborrelations consultant to such an employer that:

Example: You are a union officer. An employer provides you with anall-expenses paid weekend ski trip for the purpose of discussing theunion’s potential endorsement of a political candidate. You must reportthe value of this ski trip.

- has interests in actual or potential conflict with the interests

of their labor organization or their duties to their labor

organization.

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Exceptions to ReportingExceptions to the Requirements Just Discussed Relating toCertain Employers

Union officials are not required to report:

Payments of the kinds referred to in Labor Management Relations Act (LMRA) Section 302(c), and payments their spouse or minor child receive by reason of their service to such an employer. For example, these payments are not reportable:

• Any money or other thing of value payable by an employer to:- an employee acting openly for the employer in matters of labor relations or

personnel administration - Any union official who also is an employee or former employee of the employer,

as compensation for or by reason of, his service as an employee of the employer;

• Any money or other thing of value payable in satisfaction of a judgment, arbitral award, settlement or release of any claim in the absence of fraud or duress;

• The sale or purchase of an article or commodity at the prevailing market price in the regular course of business;

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Financial InstitutionsExceptions to the Reporting Requirements Relating to CertainEmployers Union officials are not required to report:

Bona fide loans, credit card transactions, interest or dividends from banks, credit unions, etc., if they are based upon the financial institution’s own criteria and made on terms unrelated to the individual’s status in a labor organization. The exception does not apply to financial institutions that constitute a “trust in which your labor organization is interested.”

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Trust Fund Payments

Exceptions to the Reporting Requirements Relating toCertain Other Employers or a Labor Relations Consultant to Such an Employer Union officials are not required to report:

Pension, health, or other benefit payments to them, theirspouse, or minor child from any trust that are provided pursuantto a written specific agreement covering such payments.

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De Minimis Exception


• Payments or gifts totaling $250 or less from any one source(payments or gifts valued at $20 or less do not need to beincluded in determining whether the $250 threshold has beenmet.)

• One or two widely attended gatherings where they received benefits of $125 or less per gathering.

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Payments for Improper Purposes3. Union officers or employees must file a Form LM-30 if they or

their spouse or minor children received any payments for the following purposes from any employer or a labor relations consultant for any employer:

• Not to organize employees;

• To influence employees with respect to their right to

organize:

• To take any action with respect to the status of employees or others as members of a labor organization;

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Improper Purposes (cont.)

• To take any action with respect to bargaining or dealing with employers whose employees their labor organization represents or is actively seeking to represent;

• To influence the outcome of an internal union election.

There are no exceptions to reporting payments received for any of these five purposes.

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Businesses 4. Union officers or employees must file a Form LM-30 if they

or their spouse or minor children held an interest in, or received

any income or other benefit from a business that meets any of the

following conditions:

- 10 % or more of its business consists of buying or selling or

otherwise dealing with an employer whose employees their

labor organization represents or is actively seeking to

represent; or

- any part of its business consists of buying or selling or

otherwise dealing with their labor organization or a trust in

which their labor organization is interested.

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Holdings of, transactions in, or income from, bona fideinvestments in (1) securities traded on a securities exchangeregistered as a national securities exchange under theSecurities Exchange Act of 1934 (e.g. the New York StockExchange, NASDAQ, etc.), (2) shares in an investmentcompany registered under the Investment Company Act of1940, or (3) securities of a public utility holding companyregistered under the Public Utility Holding Company Act of1935 do not have to be reported.

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Holdings of, transactions in, or income from, bona

fide investments in other securities that are of

insubstantial value or amount and occur under terms

unrelated to the official’s status in a labor

organization do not have to be reported. Holdings

or transactions involving $1,000 or less and receipt of

income of $100 or less in any one security are

considered insubstantial.

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De Minimis Exemption


• Payments or gifts totaling $250 or less from any one source(payments or gifts valued at $20 or less do not need to beincluded in determining whether the $250 threshold has beenmet.)

• One or two widely attended gatherings where they received benefits of $125 or less per gathering.

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Financial Institutions as Businesses • Credit card transactions (including unpaid balances) and

• Interest and dividends paid on savings accounts, checking accounts, and certificates of deposit

Do not have to be reported if the payments and transactionsare based upon the institution’s own criteria and made onterms unrelated to the official’s status in the labororganization

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Selected Definitions

• Actively seeking to represent means that a labor organization has taken steps during the labor organization officer’s or employee’s fiscal year to become the bargaining representative of the employees of an employer, including but not limited to:

• Sending organizers to an employer’s facility;

• Placing an individual in a position as an employee of an employer that is the subject of an organizing drive and paying that individual subsidies to assist in the labor organization’s organizing activities;

• Handing out leaflets;

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“Actively Seeking to Represent” (cont.)

• Circulating a petition for representation among employees;

• Soliciting employees to sign membership cards;

• Demanding recognition or bargaining rights or obtaining or requesting an employer to enter into a neutrality agreement (whereby the employer agrees not to take a position for or against union representation of its employees), or otherwise committing labor or financial resources to seek representation of employees working for the employer.

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Selected Definitions

• Labor organization means the local, intermediate, or national or international labor organization that employed the official, or in which the official held office, during the reporting period, and, in the case of a national or international labor organization officer or an intermediate labor organization officer, any subordinate labor organization of the officer’s labor organization. The terms “your labor organization” and “your union” mean:

a. For officers and employees of a local labor organization

The local labor organization.

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“Labor Organization” (cont.)

b. For officers of an international or national labor organization

The national or international labor organization and all of its affiliated intermediate bodies and all of its affiliated local labor organizations

But note: A national or international union officer does not have to report payments from or interests in businesses that deal with employers represented by, or actively being organized by, any lower level of the officer’s labor organization. Such officers are also not required to report payments and other financial benefits received by their spouse or minor child as bona fide employees of a business or employer involved with a lower level of the officer’s labor organization.

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“Labor Organization”(cont.)

c. For employees of a national or international labor organization

The national or international labor organization.

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d. For officers of intermediate bodies

The intermediate body and all of its affiliated local labor organizations.

But note: An officer of an intermediate body does not have to report payments from or interests in businesses that deal with employers represented by, or actively being organized by, any lower level of the officer’s labor organization. Such officers are also not required to report payments and other financial benefits received by their spouses or minor children as bona fide employees of a business or employer involved with a lower level of the officer’s labor organization.

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e. For employees of an intermediate body

The intermediate body.

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Completing Form LM-30

Part A

The first five items on the form and Item 8 (signature

and verification) must be completed by all filers.

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Part AThe summary (Item 5) must be completed after you have

completed each Part B (Schedules 1 – 4 of the form) that you

are required to file.

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Completing Form LM-30Part A

• Page 2 (Items 6 and 7) must be completed by all filers.

• Item 6 lists the seven types of employers that the filer must report payments from or dealings with as discussed earlier. The filer indicates the number of employers that he or she had reported relationships with.

• Item 7 lists the three types of businesses that the filer must report payments from or dealings with as discussed earlier. The filer indicates the number of businesses that he or she has reportable relationships with.

• You are only required to file Form LM-30 if you answer “Yes” to Item 6a or Item 7a.

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Completing Form LM-30Part B (Schedules 1-4)

• The filer must complete a separate Part B for every employer or business that he or she had a reportable relationship with.

• Schedule 1 - Employer or Business Identifying Information.

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Part B (Schedules 1- 4)

• Schedule 2 - Filer’s Interest In, Payments From, or Arrangements with the Employer or Business Identified in Schedule 1 (all filers must complete)

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ExamplesExamples of situations that must be reported in Schedule 2:

• You are a union officer and your spouse receives a loan from an employer whose employees your union represents. The loan must be reported.

• You are an officer of a district council. Your spouse owns and operates a small catering business. The council purchases catering services from your spouse’s business. You must report your spouse’s ownership interest in the catering business and the salary and reimbursed expenses that she received from the business.

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Part B (Schedules 1- 4)

• Schedule 3 - Employer’s Relationship with the Filer’s Labor Organization

• This schedule must be completed if the entity listed in Schedule 1 is an employer.

• Check the box in Part A of Schedule 3 that describes the relationship of the employer listed in Schedule 1 to your labor organization.

• Provide details in Part B of the employer’s relationship with your labor organization.

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Part B (Schedules 1-4)

• Schedule 4 - Business’s Dealings with Filer’s Union, Trust, or an Employer Whose Employees the Filer’s Union Represents or Actively Seeks to Represent.

• This schedule must be completed if the entity listed in Schedule 1 is a business.

• Enter the requested information describing the dealings between the business listed in Schedule 1 and your labor organization, any trust in which your labor organization is interested, and any employer whose employees your labor organization represents or actively seeks to represent.

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ExamplesExamples of situations that must be reported in Schedule 4:

•You are the president of a local union and own a building, which has numerous tenants, including your local. The rental agreement between you and the union, ands its value, must be reported.

•You are a union employee and your spouse owns a vending machine business a substantial part of which consists of revenue from machines placed in employee break rooms and public areas controlled by the employer. The vending agreement, and its terms, must be reported.

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Signing Form LM-30

• Sign and date the Form LM-30 after you have completed the required number of Part B.

• Form LM-30 must be signed by the union officer or employee required to file it.

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Filing Form LM-30

• Labor organization officers and employees must file Form LM-30 within 90 days after the end of their fiscal

year.

• The completed Form LM-30 must be mailed to: U.S. Department of LaborESA/OLMS, Room N-5616200 Constitution Avenue, NWWashington, DC 20210-0001

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Obtaining Copies of Completed Reports

• All reports required to be filed under the LMRDA are public information.

• You can view and print Form LM-30 reports for the year 2000 and later at www.unionreports.gov

• You can order earlier reports at this Web site. Form LM-30 reports may also be examined, and copies purchased, at the OLMS Public Disclosure Room at:

U.S. Department of LaborOffice of Labor-Management StandardsRoom N-1519200 Constitution Avenue, NWWashington, DC 20210

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Additional Information• More information regarding Form LM-30 is available

on the Internet at www.olms.dol.gov. You can also contact your nearest OLMS field office at

http://www.dol.gov/esa/contacts/olms/lmskeyp

• You may email us at: [email protected]

• If you would like to receive periodic email updates from OLMS, you may subscribe to the OLMS Mailing List via the OLMS Web site or by sending an email directly to: [email protected].

Documents

1 U.S. Department of Labor Office of Labor-Management Standards (OLMS) Filing Revised Form LM-30 An Overview of Union Officer and Employee Reporting