closed shop

/ˌkloʊzd ˌʃɑp/

Other forms: closed shops

A closed shop is a company that only employs workers who belong to a labor union. In the U.S., closed shops were officially prohibited in 1947.

Although the Taft-Hartley Act put an end to closed shops, in which workplaces could refuse to hire non-union members, some states still allow union shops, which operate in nearly the same way. While a closed shop was only open to people who already belonged to a trade union, union shops stipulate that new hires must join one right away, a rule that's illegal in 28 states. The term closed shop was coined in the early 20th century.

Definitions of closed shop

1. noun

   a company that hires only union members
   type of:

   company

   an institution created to conduct business