Unions the Worker and Benefits:

Unions

The Worker and Benefits:

unions stand for the rights of employees and for getting them due recognition and welfare programs that are due to them. Generally a worker has a right to be the member of a union, canvass others to become the member of unions, and in spare time become an active member of the union promotion and follow union programs for changing work conditions at the place of work. This right flows from Section 7 of the National Labor Relations Act. Consequently the employer cannot restrain the union activity or the employer cannot dictate the control of the union. The employer cannot make it a reason for dismissing persons. The labor act is applicable to the United States and is done with the aim of encouraging collective bargaining. (UAW, 2010)

The union has proven to be beneficial to the worker. Research shows that the workers who have no union membership are at great disadvantages. Where there are unorganized sectors there is a lack of bargaining power and hence poor wages and working implementation is also poor. (AFL-CIO, 2011a) the members of workers unions earn more than unorganized workers. There is a thirty percent difference between the union worker and the non-members wages. Similarly pensions are available for union workers at least sixty eight percent more than the non-members. In nearly every occupational category, workers who are not members of unions have smaller paychecks than union members. By comparing the wages of workers within occupational groups, the cost of not being able to bargain collectively is clear. In a report for the year 2009 that gives out the earnings for different occupations the difference between the Median weekly earnings of full-time wage and salary workers by union affiliation is about $1,000. There is less likelihood of non-union members having health insurance, or pension benefits and paid sick leave. Thus in 2009, it can be seen that more than 80% of union workers have insurance, pensions, and better contribution plans. (AFL-CIO, 2011e)

Other benefits like insurance and job improvement and training are available to the union workers. (AFL-CIO, 2011c) One of the most important features about the union for workers is the fact that the union members have collective bargaining power and can therefore demand more wages, and also other benefits. There is also more protection collectively for the minorities, ethnic groups and other groups that stand to be marginalized. For example, the colored populations, emigrants, women, etc. Thus African-Americans, Asian-American have better advantages while working with union membership. (AFL-CIO, 2011b)

In a state wise comparison it can also be shown that the states that have laws that restrict unions the pay for workers is low. This is because of the inability to use the power of collective bargaining. Thus in states with lesser freedom the actual wages were less to the extent of eleven percent to the states that allowed strong unions. (AFL-CIO, 2011e) These are the benefits to workers from unions and the result when they are not allowed to have unions. There are problems and benefits to the business from unions rather than workers from the unorganized sector.

The Business:

From the point-of-view of business also the unions have helped the business boost productivity. As per the contention of Professor Harley Shaiken at the University of California-Berkeley where unions exist there is greater productivity, less absenteeism and better workplace communication and team spirit. There is also the possibility of having a better trained workforce. Consequently it leads to better performance, and competitiveness, and health safety and product quality. This in turn gives the firm a competitive edge in the economy. The study by Harley Shaiken shows that from 1943 to 1973 the wage rise and the rise in productivity were correlated while after 1973 with the union and collective bargaining has declined leading to poor wages and working conditions and this is said to be responsible for the current financial crisis and severe recession. (UAW, 2010) Not only this but other researchers like Brown and Medoff also agree that the companies with unions have greater productivity than those that do not. Even taking and extreme example it was found that the heart attack recovery rates were high were nurses had unions than in hospitals where they did not. (AFL-CIO, 2011b)