The Hegemony of Labor Unions

In capitalist labor markets, workers exchange their time and effort for wages. However, even while laboring under the supervision of others, wage earners have never been slaves. They have the option and freedom of quitting to seek better employment if they're unhappy with their current jobs, or they can join with others to take collective action by forming political movements, also known as labor unions.

The roots of our country's labor unions extend deep into early American history. Primitive unions, or guilds as they used to call it, of carpenters, cordwainers, cabinet makers, and cobblers; first making their appearance in various cities along the Atlantic Seaboard of colonial America. These workers played a significant role in the struggle for independence which led to the signing of the Declaration of Independence in 1776. Workers then began to form unions to voice their interests against their employers and sometimes against other workers. In "pursuit of happiness" through shorter hours and higher pay, printers were the first to go on strike in 1794; cabinet makers struck in 1796; carpenters in 1797; and cordwainers in 1799 (www.socialstudieshelp.com). Recorded efforts by unions to improve working conditions through either negotiation or strike action became more frequent in the early 19^th Century.

By the 1820s, various unions began to show interest in the idea of joining together in pursuit of common objectives for working people. For example: economic and legal protection for employees from their employers, reducing the work day from twelve hours to ten, and wage increases, just to name a few. Starting in the 1830s and rapidly accelerating during the Civil War, the factory system credited for an ever-growing share of American production; producing wealth for a few, but poverty for many. When workers began recognizing their employers' power during the mid-19^th century, the number of local union organizations increased steadily. This caused unions in various trades to join together in citywide federations.

Unionization isn't easy, because they must attract members against the opposition of often-hostile employers. Union supporters sacrifice money; risk their jobs, and even their lives. Unions must persuade whole groups to abandon individualism and throw themselves into the collective project (www.eh.net). Rarely have they grown by gradually adding members, instead workers join unions in masses during periods of great excitement. Their growth has come in short periods of social upheaval using major demonstrations and strikes. When large numbers of workers see their fellow workers publicly demonstrating a shared commitment to the collective project, they tend to join in as well. However, these periods of rapid union growth tend to come to an end, because the social upheaval usually leads to a hostile reaction. Employers then organize to discharge union activists, support each other in strikes, and demand government action against unions.

After 1950, the "golden age" for American unions was formed, finding a secure place at the bargaining table with America's leading firms in industries such as: autos, steel, trucking, and chemicals. Contracts were negotiated periodically providing the exchange of good wages for cooperative workplace relations. Rules were negotiated providing a system of civil authority at work, with regulations for promotion and layoffs, and procedures giving workers opportunities to voice grievances before neutral arbitrators (www.eh.net). Also, wages rose steadily by over 2% per year and union workers earned 20% more than nonunion workers of similar age, experience, and education. Unions also won a growing list of benefit programs including: medical and dental insurance, paid holidays and vacations, supplemental unemployment insurance, and pensions. This competition for workers forced many nonunion employers to match the benefit packages won by unions, though unionized employers provide benefits worth over 60% more than nonunion workers. Labor unions and labor-oriented political parties have become major forces influencing wages and working conditions.

Unfortunately, for the past forty years, there has been a steady decline in both union membership and influence. The first reason is because employers strive to keep their businesses union-free. Some take an active approach of hiring consultants to devise legal strategies to combat unions. Others put workers on the management team by appointing them to the board of directors or establishing profit sharing labor plans to reward employees. The second reason is because new additions to the labor force have had little loyalty to organized labor. Due to the increasing number of women and teenagers working, their incomes tend to be a family's second income, rather than their own, and they also accept lower wages. The third reason is because unions are victims of their own success. Unions raised their wages largely above the wages paid to nonunion workers; so many union-made products have become so expensive that sales were lost to cheaper foreign competitors and nonunion producers. This resulted in companies having to cut back on production, causing some workers to lose their jobs, and unions losing some of their members. The fourth reason is that today's workers are more professional and highly educated, due to the shift toward technology and service, making our economy less reliant on the industrial jobs that tend to be union strongholds.

Sources:

http://www.socialstudieshlp.com/Eco_Unionization.htm

http://www.eh.net/encyclopedia/article/friedman.unions.us