Question

Discuss the role of unions in benefiting workers. Specifically address the Union Advantage and the Union Effect in California .

Answer 1

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Abstract

A labor union is an organization that acts as an intermediary between its members and the business that employs them. The main purpose of labor unions is to give workers the power to negotiate for more favorable working conditions and other benefits through collective bargaining.

A.Role of unions in benefiting workers

1.Collective Bargaining

Collective bargaining occurs when a group of people, such as the workforce at a company, bands together to increase its negotiating power. For instance, a single worker might feel that a certain new safety measure should be implemented in his factory, but he might have limited power to get the company to install the new measure. If the entire workforce is made aware of the need for the new measure and bands together to pressure the company to install it, there is a much greater chance that the company will comply

2.Workplace Safety

When labor costs more, employers invest more in training and equipment, which improves workplace morale and boosts productivity. When workers are taken care of, everyone benefits.

The antagonism between business and organized labor is not inevitable.But when employees are considered disposable, businesses can become less interested in protecting them. Employees also may lack someone to intervene on their behalf with management on safety issues when there is no union representation.When workplaces become organized, the need for cooperation becomes more obvious.

3.Rise in Employee's Salary

Unions tend to raise workers’ total compensation and to lead to a less uneven distribution of compensation within firms. Union members leverage the extra power of bargaining as a group to increase their compensation and improve their working conditions, especially for the lowest-compensated workers (earnings for the highest-paid workers may fall).

B.Union Advantage and the Union Effect in California

Introduction

Workers covered by a union contract in California earn an average of 12.9 percent more than non-union workers with similar demographic characteristics and working in similar industries. Overall, we estimate that unions increase workers' earnings in California by $18.5 billion annually through collective bargaining

Advantages & Disadvantages of Unions for Employers

• Advantage: Stable Workforce. Employers with unionized workers have the assurance of a stable and well-trained workforce.
• Advantage: Predictable Costs
• Disadvantage: Employee Initiative is Stifled.
• Disadvantage: Rewarding Employees is Difficult.
• Disadvantage: Businesses Become Less Competitive.

Unions reduce wage inequality because they raise wages more for low- and middle-wage workers than for higher-wage workers, more for blue-collar than for white-collar workers, and more for workers who do not have a college degree. Strong unions set a pay standard that nonunion employers follow.

Union Effects in California

In California union members earn better wages and benefits than workers who aren't union members. On average, union workers' wages are 28 percent higher than their nonunion counterparts. Labor unions give workers the power to negotiate for more favorable working conditions and other benefits through collective bargaining.

As a effects of unionization in California If any employee is forced to leave job or laid off then employee are entitled to your normal pay unless your contract clearly allows your employer to pay you something less, or unless you or your union representative negotiates a temporary change to your pay, to respond to a short-term situation.

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