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In: Economics

Is employers resistance of unionization a new thing or simply a repeat to the historic relationship...

Is employers resistance of unionization a new thing or simply a repeat to the historic relationship that has existed between unions and managements in the United States?
Explain your reasoning. 

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Expert Solution

solution:

Increasing resistance of employers to unionization is not a new phenomenon. Its simply a fallout of the historic relationship that has existed between unions and managements in the United States. Organization in USA have for long been offering its employees sticks and carrots in an attempt to stop unions from organizing. In fact this was seen way back in 1987 in a study by Leonard. Employees are offered carrots like pay increase, participation in profits etc. Sticks offered includes harassment of potential union leaders, not engaging in the bargaining process seriously etc. In fact, in a study by Freeman in the year 1986, the observation was that unionization in private sectors have been declining regularly in the past and the trend will continue going forward.

Historically, employers have been wary of unions. Due to conservative think tanks, employers had always tried to curb the power of unions, specially more is during the 1970s and the 1980s when industries and the economy was deregulated and free competition was encouraged through introduction of new legislations and business regulations.

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