Union Dues, Initiation Fees & Assessments
Unions run on member money. Dues pay for negotiating contracts, handling grievances, training, safety programs, benefit funds and the union’s staff and offices. Workers often ask what they must pay, what it covers and what rights they have if they don’t want to join. The answers depend on the law in your state and whether you work for a private or a public employer.
- Union Members
- Apprentices
- Workers
Types of union payments
| Payment | What it is |
|---|---|
| Initiation fee | A one-time fee to join the union. Many building trades unions charge one, sometimes paid in installments |
| Regular dues | Paid weekly, monthly or quarterly. May be a flat amount, a multiple of an hourly wage or a percentage of earnings |
| Working dues (dues checkoff) | In construction, an amount per hour worked, often deducted from pay by the employer and sent to the union. Common in building trades |
| Assessments | Special charges approved by the union, for example to fund a strike, a building or a legal fight. Many require a vote of members |
| Fines | Charged to members for breaking union rules, within limits set by law. Fines can’t be enforced against people who are not members |
| Benefit fund contributions | Employer payments to pension, health and apprenticeship funds. These are separate from dues. See pensions and benefit funds |
What dues pay for
- Collective bargaining: negotiating wages, benefits and working conditions. See Collective Bargaining & Contract Negotiations and How Unions Work.
- Enforcing the contract: grievances, arbitration and legal help.
- Hiring halls, training and apprenticeship programs that run in many trades. See Apprenticeships and Construction Trade Unions.
- Safety programs and safety representatives. See Union Safety Representatives.
- Administration: staff, offices, publications, meetings and elections.
- Political and community activity: lobbying, endorsements and charitable work. Some of this is funded separately in many unions, and rules limit how it may be paid for.
Are you required to pay?
It depends on the sector and the state.
- Private-sector workers in states without right-to-work laws: a contract can require workers in the bargaining unit to pay the union for its representation, as a condition of employment, after a grace period (usually at least 30 days, and for construction, at least 7 days). But the law only lets unions require membership in the sense of paying fees, not formal membership. See below for Beck rights.
- Right-to-work states: workers can’t be required to join or pay dues or fees to keep a job. A union must still represent all workers in the unit, which is why critics call this the “free rider” issue. See Right-to-Work for the list of states, which has changed in recent years.
- Public-sector workers: since the Supreme Court’s 2018 decision in Janus v. AFSCME, public employees can’t be required to pay union fees of any kind as a condition of employment. They may choose to join and pay dues.
- Railway and airline workers are covered by a different law, the Railway Labor Act, with its own rules.
- Join or not, your employer can’t punish you for union activity. See Right to Organize.
Beck rights: nonmembers and objectors
- In a non-right-to-work state where a union-security clause applies, a worker who chooses not to be a full union member can still be required to pay fees, but only for the union’s representational activities, such as bargaining, contract administration and grievances.
- Under the Supreme Court’s Communications Workers v. Beck (1988), these “Beck objectors” can object to paying for non-representational spending, such as political campaigns and organizing at other employers, and get a reduced fee.
- To become an objector, you generally must tell the union in writing that you resign membership (if a member) and object, and you may have to renew each year. The union must give objectors information on how fees are figured.
- Unions must tell workers about these rights, and many do so only on request, so ask. See the National Labor Relations Board and the union’s procedures for details. Rules differ for each situation.
How dues are set and collected
- Set by the union’s constitution and bylaws, usually voted by members at meetings or conventions. Changes in dues generally need a member vote under federal law (the Labor-Management Reporting and Disclosure Act, LMRDA). Read your union’s constitution.
- Dues checkoff: with your written authorization, your employer may deduct dues from your pay and send it to the union. In many states you can revoke authorization at certain times, so check the form you signed.
- Direct payment: some members pay the union directly.
- Union members get a receipt or statement. Keep copies. If your pay shows a deduction you don’t recognize, ask. Unauthorized deductions may be illegal. See Wage Theft.
- Dues are generally not deductible on federal income taxes for employees under current law, though this has changed over time. Ask a tax professional.
Transparency and your rights as a member
- The LMRDA sets a bill of rights for union members: to take part in meetings, vote on dues increases, speak freely, receive fair treatment in discipline and get a copy of the contract.
- Most unions must file annual financial reports with the Department of Labor’s Office of Labor-Management Standards (forms LM-2, LM-3 or LM-4, depending on size). These are public on the DOL website and show income, spending, salaries and assets. Look up your local.
- You may be able to inspect the union’s books and records for a good reason, and to vote in union elections.
- If you think dues or funds are misused, you can talk to the union, use internal procedures, file a complaint with the DOL, or consult a lawyer. See Where to Get Help.
Union dues and your pay: common questions
- Can the union raise dues without telling me? Generally not. Increases require procedures set by law and the union constitution, which usually involve notice and a vote.
- Can I be fired for not paying dues? Only where a valid union-security clause applies, and only after notice and a chance to pay. Employers can’t terminate you for failing to pay anything other than the allowed dues and fees.
- What if I quit the union? Resignation procedures vary. In some contracts you must stay a member for a time, and there may be window periods for revoking dues checkoff. Read what you signed.
- Do apprentices pay dues? Often yes, with reduced or phased-in amounts. See Apprenticeships.
- What if I’m not in a union but my workplace is? You may still be in the bargaining unit and get the contract’s wages and protections. Whether you must pay fees depends on the state and sector, as above.
Union dues checklist
- I know whether my state is a right-to-work state and whether I work for a private or public employer
- I read my union’s constitution and the dues authorization I signed
- I know what dues, fees and assessments I pay and what they cover
- I know about Beck (private sector) and Janus (public sector) rights
- I checked the local’s financial reports on the Department of Labor website
- I know who to contact if a deduction looks wrong
Standards & references
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