May 19, 2025
Colorado Governor Jared Polis vetoed Senate Bill 5 – A win for small businesses!
NFIB Colorado State Director Michael Smith issued the following statement about Governor Jared Polis vetoing Senate Bill 5, a bill that would have eliminated the second election requirement to negotiate an agreement clause in the collective bargaining process.
The Labor Peace Act has been in place for more than eight decades and has served Colorado businesses well. NFIB members reached out to the governor to express their concerns about SB 5 and how the current Labor Peace Act has made it easier to do business.
“Thank you, Governor Polis, for standing by Colorado’s small businesses and vetoing SB 5, a bill that would disrupt the balance between employers, employees, and labor union bosses,” said NFIB Colorado State Director Michael Smith. “The current two-vote system promotes fairness, protects employees from coercion, and keeps the business climate competitive. With SB 5 vetoed, the employer-employee relationship is protected from destabilization, and Colorado will continue to be an attractive place for business.”
“The state has enough problems with the budget and economy. NFIB hopes that lawmakers will prioritize solutions for the ongoing challenges our members face and keep Main Street open for business,” Smith continued.
Background
Currently, employees may unionize with a simple majority vote; however, they must conduct a second vote with 75 percent approval to negotiate a union security agreement clause. A union security agreement is a contractual provision between an employer and a collective bargaining unit. It allows a labor union to require that union fees be paid by all covered workers and may require the automatic withdrawal of union dues from an employee’s wages.
NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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