Fourth of Six

Listen Up! There will be a test!

Wednesday, June 24, 2009

What do unions do?

This article about the research that has been done to examine whether unions really protect jobs, increase wages, etc is a long one, but well worth reading. Talking points from the article:

• Unions function as labor cartels, restricting
the number of workers in a company or
industry to drive up the remaining workers’
wages just as OPEC attempts to cut the supply
of oil to raise its price.
• Unions benefit their members but hurt consumers
generally, and especially workers
who are denied job opportunities.
• Unions decrease the number of jobs available
in the economy. The vast majority of manufacturing
jobs lost over the past three decades
have been among union members; nonunion
manufacturing employment has risen.
• On balance, unionizing raises wages between
0 percent and 10 percent, but at a steep economic
cost. Unions have the same effect on
business investment as does a 33 percentage
point corporate income tax increase.
• Congress should remember that union cartels
retard economic growth and delay recovery
when considering legislation, such as EFCA,
that would force workers to join unions.




At 4:21 PM, Blogger Dedwarmo said...

Interesting points. I'm still glad I have a 5 day work week and get overtime for anything over 40 hours. I had an opportunity to join the union when I worked for the USPS, but I declined.

At 4:46 PM, Blogger Becky said...

Do you think 5-day work weeks and overtime pay were achieved by unions?

You were able to decline the USPS union only because you lived in NC, a right-to-work state.


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