Question

The very success of unions in part can explain their marked decline in the private sector? Do you agree or not. Explain and make sure you provide evidence nor examples to back up your position.

Answer 1

Yes we agree that the market of trade unions has declined in the private sectors because:

• Mainly unskilled and illiterate labour force were part of unions and use to take their help to convey their requirements to the management but now with the increase in number of skilled and literate labour force the importance of unions has reduced.
• Increase in government policies to protect the rights of labour force has also reduced the interference of unions in the management of corporations. As labours trust government policies more than the trade unions to protect their rights.
•     Now labour force are aware about the market conditions and also know that their wages and incentives depend on the economic conditions and profit earns of the corporations and they can’t ask for increase in wages during economic crisis so they don’t need trade unions to force company to increases their wages.
• The industrial sector of economy is changing which is also a reason for decline in unions. private sectors pay their workers according to their productivity and capabilities so their is no need for unncessary strikes and disputes.