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Pros and Cons of Unions in America

By: Yelena Vecherkina

Period 2

Mr.Gardner

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What is a Union?

  • An organization of workers that have banded together to achieve common goals such as better working conditions.
  • Includes:
    • negotiation of wages
    • work rules
    • rules governing hiring
    • firing and promotion of workers
    • benefits
    • workplace safety

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Unions in U.S. by the numbers…

  • Trade union membership�16.1 million
  • Percentage of workforce�▪ Total: 12.4%�▪ Public sector: 36.8%�▪ Private sector: 7.6%

  • Demographics�▪ Age 16–24: 5.0%�▪ 25–34: 10.7%�▪ 35–44: 13.4%�▪ 45–54: 16.0%�▪ 55–64: 16.6%�▪ 65 and over: 9.0%�▪ Women: 11.4%�▪ Men: 13.4%

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Where did unions come from?

  • This allowed workers to use boycotts, strikes, and peaceful picketing as negotiation tools.

  • More than 30 national craft unions were established during the 1860s and early '70s
  • The American Federation of Labor (AFL), formed in 1866, made many contributions to the cause of protecting the rights of American workers.

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Pros

  • Wages and Benefits
    • Members of labor unions typically have much better wages and benefits than comparable workers in the same industry who are not union members.
  • Better working conditions
    • Oversees safety procedures and working environment for all workers.
  • Equality
    • Everyone is treated equally in a union workplace. Favoritism does not play a part in who gets promoted or what salary increases are rewarded. The union contract specifies when raises occur, and what amount of time with the company qualifies the worker for a promotion. Everyone is subject to the same guidelines and job responsibilities.

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Pros

  • Seniority
    • The level of seniority that is required is spelled out in the union contract. Thus loyalty is rewarded over a person's subjective opinion of the qualifications of candidates applying for a promotion.
  • Worker’s rights
    • Because unionized workers are more informed, they are more likely to benefit from social insurance programs such as unemployment insurance and workers compensation
    • Safety
    • Health
    • Overtime
    • Family/medical leave

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Cons

  • Unbelievable high wages and benefits
    • There are times when wages need to be raised to be equitable, but the power of the unions is that they can sometimes raise wages and benefits to unrealistically high levels. These levels can be above what the market can sustain, which will cause the manufacturer to raise the costs of items that it produces.
  • Strikes
    • Long strikes can often cost employees more than what they receive in a new contract. There is always the fear of alienating customers, who, from a perspective outside of the industry, might see the employees’ actions as greedy or self serving. Sometimes unions take for granted already decent wages to strike for more.

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Basically,

Unions are great for employees, they protect worker’s rights and give them a voice. But for employer, that is not the best way to go, and they do not have as much profit.

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The End