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How does an interest increase influence unionization?
by pindab0ter 4y ago
How does an interest increase influence unionization?
- lamontcg 4y agoUltimately by creating a recession and rising unemployment and desperation in the working class.
- dragonwriter 4y agoThe more leverage labor has, the harder union-busting is, generally, because labor rights enforcement is...decidedly spotty, but witholding labor, or even making your firm less attractive to applicants, in a tight labor market is highly effective whether or not the state is enforcing labor rights. Interest rate hikes slow the economy and reduce labor demand and leverage.
- rurp 4y agoRaising interest rates can crash the economy resulting in higher unemployment. Higher unemployment means less bargaining power for workers, of which includes union strength. I'm not much for conspiracy theories but it's hard to not fixate on the sequence of events here. The past year or two is the only time in my lifetime that workers have seen their market power increase significantly, and it's being quickly followed up by moves that will likely crash the economy and will certainly decrease labor's bargaining power.