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What Do Unions Do?

What Do Unions Do?. COMM 381 Industrial Relations Week 1 Dr. S. Walsworth. Lecture Agenda. The Union Effect Measurements Positive (Voice effect and Shock effect) Negative Employer Effects Productivity Profits Innovation Employment growth Employee Effect Compensation

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What Do Unions Do?

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  1. What Do Unions Do? COMM 381 Industrial Relations Week 1 Dr. S. Walsworth Walsworth, COMM 381

  2. Lecture Agenda The Union Effect • Measurements • Positive (Voice effect and Shock effect) • Negative Employer Effects • Productivity • Profits • Innovation • Employment growth Employee Effect • Compensation • Job satisfaction Walsworth, COMM 381

  3. Union Density and GDP Measures Walsworth, COMM 381

  4. Union Density and GDP in SK

  5. The Union Effect: Positive Effect • Voice Effect • Shock Effect • Increased workplace loyalty • Increased job security Walsworth, COMM 381

  6. The Union Effect: Negative Effect • Union man first – employee/management conflict • Higher wages • Lower profits • Lower investments • Restricted growth • Reduced management autonomy • Increased protection for poor performers • Decreased merit incentive Walsworth, COMM 381

  7. Employer Effects: Empirical Evidence • Productivity: mixed results, but generally not believed to match extra union cost Walsworth, COMM 381

  8. Employee Effect • Wage premium • Job security • Next week we get into the History of the Labour Movement

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