MGMT 329MGMT 329

UNDERSTANDING UNDERSTANDING UNIONIZATION UNIONIZATION

DECISIONDECISION

Different Aspects of UnionsDifferent Aspects of Unions

EconomicEconomicVoiceVoiceEquityEquityCountervailing PowerCountervailing PowerForced UnionismForced Unionism

The Economic RationaleThe Economic Rationale

Traditional bread-and-butter Traditional bread-and-butter concernsconcerns

Getting a better dealGetting a better dealnegotiating higher wages and benefitsnegotiating higher wages and benefits

Taking wages out of competitionTaking wages out of competitionprotecting members from competitionprotecting members from competition““organizing to the extent of the market”organizing to the extent of the market”

The Voice RationaleThe Voice Rationale

Exit and Voice TheoryExit and Voice TheoryDealing with dissatisfactionDealing with dissatisfaction

Benefits of worker voiceBenefits of worker voiceimprovement in job conditionsimprovement in job conditionsincreased productivityincreased productivity

union shock effectunion shock effect

Fairness and EquityFairness and Equity

““sharing the pie”sharing the pie”Equity TheoryEquity Theory

equity within companyequity within companyequity within industryequity within industry

Countervailing Power Countervailing Power RationaleRationale

Gaining control over conditions at workGaining control over conditions at workLobbying government and taking political Lobbying government and taking political

actionactionunions are the only lobby groupunions are the only lobby group

Increasing justice in the workplaceIncreasing justice in the workplacecollective agreementcollective agreementgrievance proceduregrievance procedure

Providing workers an opportunity for Providing workers an opportunity for participationparticipation

Forced UnionismForced Unionism

Not all unionized workers choose to Not all unionized workers choose to be represented by a unionbe represented by a unionMajority rules!Majority rules!Union security arrangements Union security arrangements

What Workers Actually Want What Workers Actually Want from Unionsfrom Unions

Survey by Godard (1995)Survey by Godard (1995)Traditional areasTraditional areas

protecting wages and benefitsprotecting wages and benefitsprotecting job securityprotecting job securitypursuing grievancespursuing grievancespushing for stronger organizing lawspushing for stronger organizing lawssupporting workers on strike supporting workers on strike

What Workers Actually Want What Workers Actually Want from Unionsfrom Unions

What workers believe unions must What workers believe unions must dodoensuring workers have a say in union ensuring workers have a say in union

affairsaffairsensuring workers have a say in the ensuring workers have a say in the

workplaceworkplacefinding positive solutions to workplace-finding positive solutions to workplace-

based conflictsbased conflictsrepresenting workers’ interests to representing workers’ interests to

managementmanagement

Unionization: Propensity and Unionization: Propensity and OpportunityOpportunity

Why do some workers join unions Why do some workers join unions while others do not?while others do not?

PropensityPropensityJob DissatisfactionJob DissatisfactionPerceived Union InstrumentalityPerceived Union InstrumentalityPreconceived Views About UnionsPreconceived Views About Unions

Unionization: Propensity and Unionization: Propensity and OpportunityOpportunity

OpportunityOpportunityType of industry and location of Type of industry and location of

employmentemploymentThe nature of the union that traditionally The nature of the union that traditionally

organizes the particular industryorganizes the particular industryThe public-policy settingThe public-policy settingDegree and expression of employer Degree and expression of employer

oppositionopposition

Process of UnionizationProcess of Unionization

Dissatisfaction with working conditionsDissatisfaction with working conditionsGap between workers’ expectations and Gap between workers’ expectations and

their achievementstheir achievementsInhibiting or facilitating conditionsInhibiting or facilitating conditions

Widening Expectation-Achievement Gap Widening Expectation-Achievement Gap Union Organizing PhaseUnion Organizing PhaseUnionizationUnionizationPost-Unionization Phase Post-Unionization Phase