3.4 Trade Unions ch.19 Flashcards
What do unions push for when the negotiate with workers?
-Better equipment
-Higher wages
-Reduced discrimination
-Better working conditions
-Better working hours- more flexible
-Better non-wage forms of renumeration (fringe benefits)
What benefits do trade unions provide the unionised workers
-improve employer employee relations
-provide channel of communication with employer
-provide legal advice + support for employees
-sense of workplace belonging
-social events
What do unions pressure governments about
Rights of trade unions
e.g their right to strike
-labour laws
e.g workplace safety regulations, maternity, paternity rights, working hours
-minimum wages
What are the types of trade unions
Craft unions
General unions
Industrial unions
White collar unions
What are craft unions
represent workers with particular skills e.g plumbers, weavers. These workers may be employed in a number of industries
e.g united brotherhood of carpenters
What are general unions
Include workers with a range of skills and from a range of industries
What are industrial unions
These seek to represent all the workers in a particular industry e.g rail industry
e.g united steelworkers
What are white collar unions
represent particular professions including pilots and teachers
(suit & tie - often service workers)
What is collective bargaining?
process where workers, through unions, negotiate with employers to determine wages, working conditions, and other employment terms.
What does collective bargaining ensure
protection of individual’s reputation and that no one is particularly targeted
Ensures that the argument is more convincing.
There is also an underlying threat of strikes and workers taking industrial action
What might happen if an individual negotiated for higher wages?
there’s a possibility of a worse reputation among colleagues, a strained relationship with the boss and less promotion opportunities
What is industrial action
Worker actions which disrupt production in order to put pressure on employers to meet their demands
Examples of industrial action
- Going on strike
refusing to work- workers don’t get paid
-‘go slow’ - workers working at a deliberately slow pace
-‘work to rule’- refuse to do anything over and above their minimum working requirements and hours in contract
-‘picketline’ - protest outside a place of work- pressures workers who are choosing to work to join the strike
How can trade unions use higher worker productivity as an argument?
-each worker produces more output
-brings more profit which means they are worth more and should be paid more
How can trade unions use higher firm/ industry profitability as an argument?
workers deserve to be rewarded if the firm can afford pay rises
How can trade unions use inflation as an argument?
If prices rise, cost of living rises
workers need higher wages to afford the increased cost of living
How can trade unions use comparability arguments?
-If workers in similar professions have had a pay rise
-more senior or junior workers in the profession have had a pay rise
What are some factors affecting the strength of a trade union?
- Number of unionised workers
-unemployment/employment rates (level of economic activity)
-Public support
-profits of a company (level of economic activity)
-level of skill
-The government’s political stance
What happens to trade union power if a large number of employees are unionised?
The trade union is stronger as more people can take action and they receive more funds
What happens to trade union power if unemployment rate is high?
Trade unions are less powerful as workers are easily replaceable and generally less likely to take industrial action (as they are grateful)
What happens to trade union power if employment rate is high?
Trade unions are more powerful as workers have more job opportunities, giving them greater bargaining power to demand better wages and working conditions.
What happens to trade union power if the union or profession has the support of the public?
trade unions are likely to be more powerful.
What happens to the trade union power if company profits are high?
Trade unions are more powerful as the argument of workers deserving higher wages can be used- company can afford to.
What happens to trade union power if workers are highly skilled or specialised?
Trade unions have more power as workers aren’t easily replaceable so firms are more likely to take on board their complaints
What happens to trade union power if the government is right wing/ pro business?
Trade union power decreases as the government are not likely to support them/ industrial action.
Restrictions might be implemented on acitivities
What happens to trade union power if the government is left wing/ labour party/ worker party
The become stronger as the government is in support of them.
What does recession often lead to?
high unemployment
What are some advantages of trade unions?
-Trade unions benefit their members
-Trade unions can benefit firms
-Trade unions can benefit non-union members too
What are some disadvantages of trade unions?
-union members might feel forced to participate in industrial action they don’t agree with
-Firms are harmed by industrial action
-Trade unions benefit their members at the expense of other workers
-Harm to the wider economy
How can trade unions benefit members
-higher wages
-safer working conditions
-fair pay
-reduced/more flexible working hours
How can trade unions benefit firms?
-Employer-employee relationships can be improved as it can be more communicative and comfortable
- make firms/ employers more aware of complaints
-Gives workers a means to communicate and give constructive feedback, creating better workplace environment
-productivity can be improved if workers are more satisfied with working conditions, hours or wages- incentive to work harder and more efficiently
How do trade unions benefit non-union workers?
-most benefits which unions succeed in gaining for their members, are generally granted to all workers
How can unions be coercive and be a disadvantage for fellow members
it is a misrepresentation of the workers views and leads to workers unfairly losing wages due to overly militant and coercive activits that have an outsized influence.
How do picket lines affect workers?
They coerce workers to join in on the strike, often involuntarily. Workers find it hard to excercise free choice due to the guilt and criticism from colleagues if they chose to work. Sometimes they cant enter the building.
How does industrial action harm firms?
Significantly reduces productivity and decreases output. This reduces profit and thus is a disruption to production.
e.g go slows and strikes (no output)
How do trade unions benefit their members at the expense of other workers?
If wages increase, there is a fall in the number of workers hired (Qd<) but also an increase in demand for work or supply of labour (Qs>)
This creates a surplus of labour, particularly affecting non trade union members, less productive/ lower skilled workers and people that can be replaced with capital.
How do strikes harm the wider economy?
as they disrupt public services, reduce productivity, and create economic instability by affecting businesses and daily life.
(e.g education- if children cant go to school some parents cant work meaning that output is decreased in their jobs.)
