It is no coincidence that America has grown more unequal as its labor movement has lost power.
Economists since Adam Smith have recognized that, without organizing, workers cannot negotiate on equal terms with an employer — much less a large corporation.
In theory, workers individually negotiate their wages and benefits. In practice, they are presented a take-it-or-leave-it offer. Organized labor affords workers representation in the workplace and a more equal footing in negotiation, securing higher wages (up to 25 percent higher) and greater access to basic benefits like retirement, health and life insurance as well as paid leave.
Recommended Reading
Talkin’ (Policy) Shop: Worker Voice
On this episode, Oren and Chris discuss the issue of worker voice and how to reform labor law to create new avenues for labor input from the shop floor to the boardroom.
Policy Brief: Workers in the Boardroom
Give workers a seat at the directors’ table
Policy Brief: Collaborative Labor-Management Committees
Give workers a collective voice on the job