closed shop

closed shop

Arrangement whereby a company employs only workers who are members in good standing of a specified labour union. It is the most rigid of the various schemes for protecting labour unions (more flexible arrangements include the union shop). Closed shops were declared illegal in the U.S. under the Taft-Hartley Act of 1947, but in practice they continue to exist in some industries, such as construction.

This entry comes from Encyclopædia Britannica Concise.
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