Exclusive unionism has the economic effect of
Multiple Choice
increasing the demand for labor.
strengthening the bargaining position of an industrial union.
weakening the bargaining position of a craft union.
decreasing the supply of labor.
The Correct Answer and Explanation is :
The correct answer is strengthening the bargaining position of an industrial union.
Explanation:
Exclusive unionism refers to a situation in labor relations where a single union represents all the workers in a particular industry, company, or sector. This form of unionism is contrasted with “inclusive unionism,” where multiple unions might represent different groups of workers within the same workplace or industry.
The economic effect of exclusive unionism is most noticeable in terms of strengthening the bargaining position of industrial unions. When a single union, often an industrial union, holds exclusive representation rights over all workers in an industry or company, it gains more leverage when negotiating with employers. This is because the union now represents a larger, more cohesive workforce, which amplifies its ability to demand better wages, benefits, working conditions, and job security.
Here are several factors contributing to the strengthening of the union’s bargaining power:
- Consolidation of Workforce Power: By consolidating all workers under one union, the employer faces a unified negotiating body rather than multiple smaller unions. This centralized structure allows for better coordination and collective action, increasing the potential for strike actions, work stoppages, or other forms of labor unrest.
- Economies of Scale: A larger union with a greater number of members has more resources, such as funding, personnel, and expertise. This enables the union to conduct more effective lobbying, strike coordination, and legal actions, all of which enhance its bargaining power.
- Higher Membership Participation: Exclusive unionism often leads to higher membership rates, as workers are typically required to join the union to work. This helps build a larger, more cohesive voting base for union leadership and decisions, ensuring that the union speaks for a larger portion of the workforce.
While exclusive unionism strengthens industrial unions, it does not necessarily weaken craft unions, which tend to represent specialized trades rather than broad industries. Therefore, the bargaining power of industrial unions is enhanced through exclusive representation, leading to better overall labor conditions for their members.