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> House prices wouldn't be so high if we had unions. In Switzerland, all the large unions (railroad workers, public service workers, ect.) have so much money a
by pbmonster 2y ago
> House prices wouldn't be so high if we had unions.
In Switzerland, all the large unions (railroad workers, public service workers, ect.) have so much money and so much access to cheap credit, they can (and frequently did in the past) start housing co-ops for their members.
This results in large developments in the middle of the most expensive cities, where only union members have a chance to rent. And even those have year-long waiting list on every new development.
Since the housing co-op is non-profit and pays rock bottom interest rates on its loans, rent is frequently around half the fair market rate.
- lupusreal 2y agoWhere did those unions get so much money from?
- pbmonster 2y agoDues, I imagine. If you don't strike very often, the war chest keeps filling... That war chest, in combination with it being unthinkable that a big union goes bankrupt, and the fact that they are building real estate, pretty much means they can borrow more money dirt cheap.
- lupusreal 2y agoI guess it just seems strange to me for a union to be so rich, yet their members can't afford to live in regular housing. I grew up in a factory town in America with a unionized workforce and despite the things people say about American unions, the workers there all did very well. At least until the plant was sold to private equity about 10 years ago... I hear bad things now... but for several generations the union succeeded in getting the workers paid enough to be regular members of the community, not some sort of second class living in company/union housing.
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- pbmonster 2y agoThe union housing co-ops are just another perk the union provides some of its members. They don't have nearly enough co-ops for all members. They are extremely popular - rent significantly below market rate, and no land lord as the co-op is administrated by the residents themselves. Otherwise, those apartments are completely normal and indistinguishable from any other development in a central urban neighbourhood. And yes, union jobs pay decent salary in Europe. Probably one of the easiest/safest ways to a middle class life, especially without going to college.
- josefx 2y agoThey are decades old organizations with millions of members. That is probably a drop in the bucket to them.