2. Differences in training, education, age, and
experience
Differences in abilities
Differences in risk
Geographic differences
Job discrimination
Union membership
3. 1. Do Now
2. Review
3. Finish and present Businesses
4. Minimum Wage
5. Labor Unions Notes
6. Taking Sides (Labor Unions)
4. Students will be able to explain the
historical necessity of labor unions and the
role that unions play today.
Students will be able to identify different
types of worker based upon their human
capital.
5. What are the advantages and
disadvantages of minimum wage?
Do you think raising the minimum wage
would hurt or help our economy? Explain
6.
7. Wagner Act 1935- Federal law that
protects the rights of employees to
unionize.
Taft-Harley Act 1947- authorized states to
introduce “right- to- work” laws.
23 states have right- to- work laws.
8. Collective bargaining- process by which
union representatives negotiate with an
employer about wages, employee benefits,
and working conditions.
Binding arbitration- when labor
negotiations break down and the public
interest is involved, a neutral 3rd party is
brought in to impose a settlement that both
sides must accept.
9. Major source of union
power= threat of strike
Attempt to force firm to
accept union’s position.
Threat of strike can
encourage agreement.
Some industries are
more susceptible to
strikes.
10. REDUCE THE SUPPLY OF INCREASE THE DEMAND
LABOR FOR UNION LABOR
Restrict membership (high Increase for union made
initiation fees, long products
apprenticeships, difficult Restrict supply of products
qualification exams, that compete with union
restrictive licensing…) made products
Force all employers to hire Increase productivity of
only union workers. (difficult Union labor
especially in right-to –work
states.)
11. Union workers earn on average 15% more
than non-union workers
Unions have great impact on wages in
government, transportation, and
construction.
12.
13. Improvements in work conditions
Some states allow workers to enjoy union
benefits and wages without being members
Changes in the economy- US produces more
services than goods.
Competition from nonunion firms
Strikes are fewer and less effective- only
about 20 strikes a year and many end in
companies hiring permanent replacements