All states have laws that specifically address issues related to child labor. When federal and state standards differ, standards that provide the most protection for youth workers will apply. The Fair Labor Standards Act is a federal law that illustrates well both the preference doctrine and the few exceptions when state law replaces federal law. One element of the FLSA is the federal minimum wage law.
In states where state law sets the minimum wage below the federal minimum wage, such as Wyoming and Georgia, federal law replaces state law. However, in the 18 states with state laws that set the minimum wage higher than the federal minimum wage, such as California and Florida, state law replaces federal law. In particular, the National Labor Relations Act of 1935 § 2 (1) exempts supervisors with authority, in the interest of the employer, from exercising discretion over the jobs and terms of other employees. Because people lack bargaining power, especially against wealthy corporations, labor law creates legal rights that override arbitrary market outcomes.
Under the Labor Administration Reporting and Disclosure Act of 1959, union governance follows democratic principles. The NLRB cannot force an employer to agree, but it was thought that the NLRB's power to sanction an employer for an unfair labor practice if they did not negotiate in good faith would suffice. Modern U.S. labor law stems primarily from statutes passed between 1935 and 1974, and from changing interpretations of the U.S.
Supreme Court. Its amendments allowed states to pass laws that restrict agreements for all employees in a workplace to be unionized, prohibited class action against partner employers, and introduced a list of unfair labor practices for unions as well as employers. However, after the Taft-Hartley Act of 1947, the National Labor Relations Act of 1935 § 158 (a) (was amended to prohibit employers from refusing to hire a non-union employee). The basic objective of labor law is to remedy the inequality of bargaining power between employees and employers, especially employers organized in corporate partnership or other forms of homeowners' association.
Trade policy has sought to include labor rights in international agreements, to ensure that open markets in a global economy do not undermine fair and full employment. This affects the number of union members and whether labor rights are promoted or suppressed in democratic politics. The prudent and cashless beginner in the world works for a while for a salary, saves a surplus with which to buy tools or dirt for himself, then works on his own another time, and finally hires another new beginner to help him. Although the New Deal had created a minimum labor rights safety net and aimed to allow fair wages through collective bargaining, a Republican-dominated Congress revolted when Roosevelt died.
