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Transcript of Trade Unions
Benefits for Employees - Claire
Weaknesses for Employees - Sophie
Benefits for Government and Society - Sarah
Weaknesses for Government and Society - Tu
Benefits for Employers - Lawrence
Weaknesses for Employers - Damon
What is a trade union?
Trade unions are organisations of workers who have banded together to achieve common goals. They were created to maintain as well as improve working conditions.
Benefits to Employees
New Zealand Dairy Workers Union
New Zealand Educational Institute
350,000 New Zealand Members
Over 40 Affiliated Unions
New Zealand Council of Trade Unions
Disadvantages for employers
Higher Wages – increased labour costs
Strikes – Employees paid but no profits for the organisation
More Lawsuits and Arbitrations – difficulty to lay off workers in changes Eg. Contesting against termination.
Decreased Human Resources Control – Many unions negotiate by seniority rather then merit.
‘Us versus them’ – resistance to management decisions.
Advantages for Employers
• Easier to Make Changes
• Simpler Negotiations
• Employee Discipline
• Aiding the Budgeting Process
• Simplified Compensation Process
• Employee Satisfaction
• Employer/Employee Relations
Societal Benefits of Trade Unions
Ensure a social dialogue between governments and citizens
Active Citizenship : Democratic participation
Minimizing social imbalances/poverty elsewhere
Societal Disadvantages of Trade Unions
- Pay rises are unequal between union workers and non union workers.
- Independence of unions
- Effect of the Government
• Trade union membership is only voluntary therefore only represents a proportion of employees
• Some companies require employees to be union members.
• It also paves the way for free riders.
• Some companies do not offer unions.
• There are strong economic weaknesses. Higher wages result in fewer jobs
Wages will decline in nonunionised industries.
• NZ does not have a strong union movement, because NZ has a flexible labour market and an educated workforce which is not heavily unionised.
Perspectives of Industrial Relations
Unitarist: Views the organisation as one within all participants (employers, managers & workers), have common objectives and values. Assumes unions are not necessary.
Pluralist: Sees the organisation as a complex of tensions and competing claims which have to be managed so as to maintain a viable collaborative structure within which all stakeholders can pursue their aspirations. Trade unions are required to managed conflict and other issues.
Marxist: Believes in a capital society the division between labour and capital is inherent, this creates imbalance and inequalities as a result. There is no place for trade unions in this perspective.
Critical: Critiques society as a whole and the changes that are occurring in society for a collective benefit.
Are there any questions?