The right of the American worker to organize and lay claim to better wages, healthcare, hours, as well as safer working conditions and opportunities for better training and a better job, have played a profound role in American business for over a century. During the 1950’s, membership in unions represented nearly a third of the American workforce. But more recently, times haven’t been as good for the Union brotherhood. Just a few years ago, Federal labor statistics showed that union membership represented just 12% of today’s workforce.
But are those numbers improving or declining and just how relevant are unions in today’s economy? In states like Pennsylvania, where unemployment is relatively moderate (8.9%) union membership is slightly higher than the national average. (see graph). However in states like Michigan, hit hard by the downturn in the auto industry, union membership (19.9%) and unemployment remain equally high (14.1%)
To look closer at the significance and relevance of today’s Unions, Manufacturing and Technology eJournal conducted a survey of subscribers to get their thoughts and feedback. Of those who participated, 62.5% responded that they had never been in a union while 27% stated that they had been in a union at one time. Only 10% of responders indicated that they were in a union currently.
 |
Statistically, this data falls in line with national averages which show that over the past 25 years union membership has dropped dramatically. In the early 80’s, union membership was holding steady at about 21.5% of all employed workers. Today it is almost half that number.
According to Tim Kane, PH.D., Director of the Center for International Trade and Economics and James Sherk, Policy Analyst in Macroeconomics for the Center for Data Analysis at the Heritage Foundation, “...there isn’t any debate over whether unions are facing extinction. The numbers already speak for themselves.
But don’t just take their word for it. Indeed, there are many opinions and data to suggest otherwise. For example, unions are a significant organizing force with government workers. Bucking most trends union government workers have been steadily on the rise with nearly 42% of government workers registering as members. And with the steady increase in size of our government, these numbers are likely to increase further still. Interesting enough, of our surveyed readership 40% stated that they were Republicans and 37.5% claimed to be Independents. Only 10% claimed to be Democrats.
When it comes to union government workers, Kane and Sherk contend that one of the issues with unions is that they no longer strike to change difficult working conditions. Rather today’s modern union fights for more government because they are the government. This debate in question goes against everything that union’s were organized to do in the first place which is to improve the life and livelihood of working Americans.
No matter whom you ask, you find those in opposition and those in favor of unions. In the construction industry, non-union contractors will typically say their work costs much less, while union contractors will counter that you get what you pay for. In reality, there is truth in both statements.
On the positive side, unions do increase the share of profits paid out to workers and also seem to reduce inequality among wage earners. There is also greater opportunity for organized skills and safety training. However, there are many among today’s leading economists who feel that the unions’ increase of profits/wages for workers constrains the job market and is no different than what an industrialist monopolist might do to increase profits by fixing prices. Economists will argue that this practice ultimately creates market inefficiencies and harm’s an economy’s resource allocation and distribution of wealth.
 |
Results from our survey would seem to back up at least some of what economists allude to. For instance, only 15% of those surveyed thought that union wages, compensation and benefits were better than their non-union counterparts and only 10% thought unions had a positive impact on their workplace. Unions also received low marks when it came to lowering the overall end costs to the consumer with 75% of responders indicating that they in fact raise consumer costs. Some economists would go one step further and say they ultimately lower consumer confidence.
Okay, so where do we go from here. To be honest, our survey results represent the opinions of just 8% of our readership. Many of you were undecided on the significance or relevance of today’s union.
And to be fair, not all of the news regarding the significance and relevance of today’s unions is bad.
Unions still represent a positive force of change for workers who contend they still receive lower wages than their counterparts - such as those at foreign auto plants and Big-Box retailer Wal-Mart. Unions could also stand to increase in stature and membership as health care protection, regardless of your views on Obama-care, and crumbling pensions force some Americans to seriously consider union membership.
For many, Unions represent a positive force of change. Still, for many others Unions are a reminder of what worked in the past and what may not work as well today as once intended.
In the upcoming weeks, Manufacturing and Technology eJournal is going to take a closer look at the various unions, in states where our readership is located, to determine their impact, significance and future they serve. Please join us for this in-depth analysis.
Christopher Lawton is a freelance copywriter and owner of wecreate, a virtual, brand marketing communications company in Pittsburgh, PA. www.wecreatesolutions.com
 |
All comment postings require your name and email address for user verification only. Your email address will not be used or distributed for any other purpose.
No advertising is permitted and will result in the post being deleted and/or banning. Please click "REPORT" to report any inappropriate posts. blog comments powered by Disqus
Permission to Reproduce:
Unless otherwise stated, the copyright and similar rights to all material published on this website are owned by The Manufacturers Group Inc. DBA Manufacturing & Technology eJournal( mfrtech.com ). Reproduction of any article in print, electronic or any other form must acknowledge mfrtech.com as the Source and include a link to http://www.mfrtech.com
 |
