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Negative Effects of Unions

Econ 21100

Vivien Schremp

on 6 May 2013

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Transcript of Negative Effects of Unions

The Negative Effects Labor Unions What is the perceived disadvantage of the continued existence of Labor
Unions? Unions are beneficial to a few, but negative to the economy as a whole.

Unions are immune to Sherman Anti-Trust Act

Non-unions have a a disadvantage with not being exempt from the Anti-Trust Act. They lead to an industry with limited

The free market weakens as choices are limited.

They can cause a slow down in work or even a stoppage due to strikes. Giving current regulations, laws, government agencies, and other regulatory bodies is the
existence of labor unions still necessary? OSHA for safety in the workplace

Equality for women

Equal pay and treatment

Child Labor Laws

Minimum Wage All of these are regulations now that labor unions would have covered fifty years ago. Now, these are all
laws and they make labor unions useless. A Look Into Can workers effectively bargain with/against management without unions? What about union dues/fees and its impact income of members and none members? What policy advice would you suggest to improve the situation? The workers higher pay leads to fewer workers and higher costs to consumers.

Workers are forced to pay for union dues, whether they want to be part of union or not.

Growth in right to work states is greater than in non right to work states.

Right to work states allows more choices to individuals. Offer incentives for people to exit labor unions.

Make all employees “at will” employees.

Create companies that are anti-union. Keeping labor unions out of the workplace helps companies stay competitive in this economy. Offering
incentives for people to exit labor unions would be a great way to reduce the number of members. Since 1989, ten of the top fifteen major political contributions have been from unions with 75% of that money going to the Democratic Party Union Dues are mandatory in non-right to work states.

'union income security clause'

Non-right to work states have higher unemployment and slower job growth but higher wages.
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