4 ms·

I have always wondered why Americans see their unions as so dysfunctional and harmful. I have never had problems with unions as en employer. Then I learned tha

I have always wondered why Americans see their unions as so dysfunctional and harmful. I have never had problems with unions as en employer. Then I learned that US has completely different union system from Europe. You guys have so called enterprise-level bargaining with union shops and agency shops where workers must be part of an union or pay the fee for an union. Then union negotiates pay in enterprise-level. I can see how this is extremely harmful and entrepreneurs must fight tooth and nail against unionizing. Most of the world has so called sector level bargaining. Unionized workers negotiate for all workers in an entire industry. Union representing electricians negotiates with federation representing companies that hire electricians. After they reach a deal that covers enough unionized workers the deal is extended to the whole industry. You essentially negotiate minimum wage per sector plus benefits.

maxxxxx 9y ago
Agreed. Per sector is much better. The companies in that sector still can compete on a level playing field. In the US the company with the worst labor practices has an advantage.
dredmorbius 9y ago
In practice, labour contracts with one firm within an industry, for major unions & firms, often set the industry payscale This was long the practice in the US auto industry. Discussed in this story: https://www.freep.com/story/money/business/2015/09/08/uaw-president-contract-talks/71835914/ https://www.freep.com/story/money/business/2015/09/08/uaw-pr...
- Nokinside 9y ago
  That can be true even without unions when the industry is dominated by handful of large companies and their is demand for labor.
ijin 9y ago
I would assume it has to do with the low rate of unionization. A high rate of organization among employers and employees really disincentives 'rogue' behavior. These online discussions naturally tends to focus on things like salaries and conflicts, but often these organization also have other roles in industry, education and even politics. At least I often find this preferable to just having a few politicians or a few large companies trying to decide what to do.

maxxxxx 9y ago

Agreed. Per sector is much better. The companies in that sector still can compete on a level playing field. In the US the company with the worst labor practices has an advantage.

dredmorbius 9y ago

In practice, labour contracts with one firm within an industry, for major unions & firms, often set the industry payscale This was long the practice in the US auto industry. Discussed in this story: https://www.freep.com/story/money/business/2015/09/08/uaw-president-contract-talks/71835914/ https://www.freep.com/story/money/business/2015/09/08/uaw-pr...

Nokinside 9y ago
That can be true even without unions when the industry is dominated by handful of large companies and their is demand for labor.

ijin 9y ago

I would assume it has to do with the low rate of unionization. A high rate of organization among employers and employees really disincentives 'rogue' behavior. These online discussions naturally tends to focus on things like salaries and conflicts, but often these organization also have other roles in industry, education and even politics. At least I often find this preferable to just having a few politicians or a few large companies trying to decide what to do.