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The Impact of Unions on Organizations
Impact of unions on organizations
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Unions are organizations that negotiate with corporations, businesses and other organizations on behalf of union members. There are trade unions, which represent workers who do a particular type of job, and industrial unions, which represent workers in a particular industry. The American Federation of Labor-Congress of Industrial Organizations (AFL-CIO) is a trade union, while the United Auto Workers (UAW) is an industrial union. Describe the impact of the union on wages within your organization. If your organization's employees are not represented by a union, discuss how union representation might positively or negatively impact employee standards. Disney has offered a contract that would raise starting pay from $8.03 an hour to
$10 an hour by July 2016. Full-time workers not already at the top of their pay scales would get three raises of at least 50 cents an hour, while topped-out employees would get three raises of 30 cents an hour. Health-insurance premiums also would rise, though Disney says it would continue to pay 75 percent of the cost, on average. However Disney furthermore requests its unions to give up pensions for new employs starting Jan. 1, 2016. Those workforces would in its place be enrolled in 401(k) investment plans with a 3 percent company match. Ed Chambers, president of the Service Trades Council, the coalition of six unions that together represent more than 20,000 full-time workers at Disney World, said he was pleased by Disney's wage offer. Chambers said some unions probably will have concerns about inadequate raises for topped-out workers, but he said the proposal "is putting emphasis on our goal of improving the wages of the masses and getting closer to our idea of a living wage." But Chambers said there are still several "non-starters" in the offer, including the proposed elimination of pensions for future hires. Leaders of the two Unite Here Local 362 and Unite Here Local 737, two of the more combative unions within the council, also sounded an optimistic note. Local 362 President Eric Clinton called it "a more significant opening economic proposal than we've seen in years" from Disney. "We're not there yet, but Disney's offer is a step in the right direction," added Local 737 President Jeremy Cruz-Haicken. Disney's offer includes an unusual wrinkle: The full agreement, which covers everything from scheduling to grievance hearings, would extend through September 2019 — a term of about 51/2 years. But it does not include any scheduled raises for workers during the final two years of the agreement. Instead, the contract includes a provision calling on the two sides to negotiate any further wage increases beginning in September 2017. Kim Prunty, a spokeswoman for Disney World, said the offer "reflects our appreciation and care for our cast members and our commitment to providing a leading employment package." Are employees from your organization's competitors represented by a union? If so, has the union representation provided a competitive advantage or some sort of hindrance? Explain. Disney’s biggest competition is Twenty First Century Fox and Time Warner (Unknown, n.d.). A significant number of employees in various Disney businesses are covered by collective bargaining agreements, including employees of its theme parks and resorts as well as writers, directors, actors, production personnel, and others employed in its media networks and studio operations. Plus, the employees of licensees who manufacture its consumer products and retailers who sell its consumer products, and employees of providers of programming content (such as sports leagues), may be covered by labor agreements with their employers. In general, a labor dispute involving Disney’s employees or the employees of its licensees or retailers who sell its consumer products or providers of programming content may disrupt its operations and reduce its revenues, and a resolution of a dispute may increase the company’s costs.
As companies look to expand operations and hire new employees, many economic and environmental factors are taken into consideration. The cost of labor is one of the primary concerns as labor generally constitutes a large part of company budgets. The organization of labor by unions further increases this concern. The wages of unionized workers are significantly higher than the wages of nonunion workers in almost every industry (Fossum, 2012). Higher wages generally result in reduced company profits, lower share prices, and reduced shareholder returns (Fossum, 2012). Unionization also reduces the employer’s flexibility with regards to hiring, transferring, or promoting employees (Fossum, 2012). Productivity may be negatively impacted by unionization because merit is often eliminated as a criterion for wage increases or promotions (Fossum, 2012). As a result of these negative impacts, employers are motivated to oppose unionization.
The ethical issue in this situation is the willingness of the company’s director to prevent the employees from organizing in union. Among others, the company’s director try to use unfair tactic like diversion, intimidation, manipulation, termination of job contract and threat to shut down the company leading to massive loss of job. In an ethical standpoint, these tactics are wrong.
Unions are voluntary associations joined by workers. The Combination Act of 1800, which hindered the growth of unions, states that every workman's goal, who are entering into any combination should not be obtaining an advance of wages, or to lessen or alter the hours, or influencing any other to quit his work. Any workman who did so shall be committed to jail (Doc 1). Although the Combination Act of 1800 prevented the growth of unions, Ralph Chaplin believes that a worker should join the union. He states that there can be no power greater anywhere beneath the sun, but the unions, which makes it strong (Doc 2). Since there's so many workers working in bad conditions, the labor laws came to action.
Modern democratic ideas were sprouting in America, especially within the organized labor movement from 1875 to 1900. During this period, blue-collar industrial Americans sought to abate their plight through the formal use of collective bargaining and the voice of the masses; seeking to use their strength in numbers against the pocket-heavy trusts. America’s rise in Unions can be traced back to 1792, when workers in Philadelphia formed America’s first union which instituted the avant garde method collective bargaining. It is because of these grass roots that America’s organized labor has continued to grow to this day, however not unchallenged. The challenges unions face today stem directly from the challenges faced in 1875. The organized labor movement from 1875 to 1900 is to blame for the problems unions face today as early labor unions crucified themselves politically, alienated themselves socially and failed to increase the socio-economic position of the worker, and in many cases only succeeded in worsening such positions.
Labor unions in the late 1800's set out to improve the lives of frequently abused workers. Volatile issues like the eight-hour workday, ridiculously low pay and unfair company town practices were often the fuses that lit explosive conflicts between unions and monopolistic industrialists. Some of the most violent and important conflicts of the time were the Haymarket Affair and the Pullman strike. Each set out to with similar goals and both ended with horrifying consequences.
Organized labor, during the period from 1875-1900, had drastic effects on the lives of factory workers. Labor unions not only sought to improve working conditions; they wanted to have a large impact on society as a whole as well. These unions also altered feelings toward organized labor.
Unionism can be described as "a continuous association of wage-earners for the purpose of maintaining or improving the conditions of their employment"(Smelser). This means that a group of workers can unite to gain more power and leverage in bargaining. The bargaining may include many aspects but usually consists of wages, benefits, terms and conditions of employment. The notion of union came about in the 1700's. In the beginning as it is today workers united to "defend the autonomy and dignity of the craftsman against the growing power of the company" (Montgomery).
Union affiliation was first seen in the 1600’s when the roots of the United States were just being planted with skilled trade groups such as artisans, laborers, goldsmiths and printers. Over the next two hundred years, unions developed their desires for higher wages through the use of strikes and protests. The nation’s progress spurred the need for more labor and so began the Industrial Revolution. During the Revolution, many union members began to witness the power that employers had and as a result decided to make use of the concept of power in numbers. The National Labor Union formed in 1866 and worked to persuade congress to set a Federal eight-hour workday, which applied to government employees (Miller). Many large unions formed following in the NLU’s footsteps and uni...
Throughout the history of the United States of America the continuation of misfortunes for the workforce has aggravated people to their apex, eventually leading to the development of labor unions.
Unions have an extensive history of standing up for workers. They have advocated rights of steelworkers, coal miners, clothing factory employees, teachers, health care workers, and many others. The labor movement is based on the idea that organized workers as a group have more power than individuals would have on their own. The key purpose of any union is to negotiate contracts, making sure workers are respected and fairly compensated for their work. “In theory” unions are democratic organizations, resulting in varying inner authority. Workers look for security within a job a...
Beginning in the late 1700’s and growing rapidly even today, labor unions form the backbone for the American workforce and continue to fight for the common interests of workers around the country. As we look at the history of these unions, we see powerful individuals such as Terrence Powderly, Samuel Gompers, and Eugene Debs rise up as leaders in a newfound movement that protected the rights of the common worker and ensured better wages, more reasonable hours, and safer working conditions for those people (History). The rise of these labor unions also warranted new legislation that would protect against child labor in factories and give health benefits to workers who were either retired or injured, but everyone was not on board with the idea of foundations working to protect the interests of the common worker. Conflict with their industries lead to many strikes across the country in the coal, steel, and railroad industries, and several of these would ultimately end up leading to bloodshed. However, the existence of labor unions in the United States and their influence on their respective industries still resonates today, and many of our modern ideals that we have today carry over from what these labor unions fought for during through the Industrial Revolution.
Labor unions have been in America for a very long time. There are many unions in a myriad of different fields. Labor unions were and are used to allow for equal treatment of workers. Employers always want to maximize their profits and they try to give the least to get the most in return. For reasons such as this is why unions were formed. Generally a union boss is appointed or hired to protect the rights and privileges of the employees. The union boss is generally very representative of the demographics of the workers. The leader of the employees needs to know what they want and what is fair for them and this is why he tends to represent one type of work force, such as the teachers union. This type of representation is made easier when most of the workers come from the same background. Background meaning family size, education, race, etc. Labor unions have helped shape the American work force, as have the backgrounds of the men and women who have worked in them. America was founded on diversity and the freedom to choose. Many different backgrounds have found their way into America and labor unions. As stated earlier, labor unions have people of the same background in them. America’s first settlers were generally of the same background and because of that, so were the members of the first labor unions. As the United States expanded so did the work force and the diversity in it. Diversity and understanding the challenges and benefits is what enables America to be great. In the pages of this paper we are going to look at the change in the make-up of labor unions by the entrance of African-Americans and how they have influenced America and the labor unions for the better. This paper is and expansions on my paper “A Shield Against the Power of Industrial Capitalism”.
After the Civil War, many ideologies developed into the United States of America. Some of these ideologies included the free labor ideology and the producerist ideology. Free labor endorsed the belief that by removing slavery, or any other kind of barrier, everyone had an equal chance to try to get wealth (Farless). The producerist ideology tried to stay to the customary view of society and it stressed the importance of viewing the community instead of an individual (Farless). With these two ideologies, they had an impact on labor. By believing in the producerist ideology, people would be staying with tradition, and that leaves no change for our world. Many laborers wanted change, which led to problems for the laborers.
Throughout American history, labor unions have served to facilitate mediation between workers and employers. Workers seek to negotiate with employers for more control over their labor and its fruits. “A labor union can best be defined as an organization that exists for the purpose of representing its members to their employers regarding wages and terms and conditions of employment” (Hunter). Labor unions’ principal objectives are to increase wages, shorten work days, achieve greater benefits, and improve working conditions. Despite these goals, the early years of union formation were characterized by difficulties (Hunter).
Business political activity comprising of anti-union tactics, political candidate subvention, establishment of nonprofit oriented corporations and issue advertising. Thus the escalation of political organized activities on the side of various social classes could affect distribution of income on basis of the influence they have on institutional landscape (Kober, 2010). For example, the firing of workers occurs during the election campaigns of unions.