Wage Determination Appendix

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Union Membership

15.3 million workers in 2009
8 million in AFL-CIO (The American Federation of

Union Membership 15.3 million workers in 2009 8 million in AFL-CIO (The
Labor and Congress of Industrial Organizations )
6 million in Change to Win The Change to Win Federation (CtW) is a coalition) is a coalition of American) is a coalition of American labor unions 
Remaining in other independent unions

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Unionization rate highest among:
Government
Telecommunication
Transportation
Construction
Manufacturing
Lowest among:
Finance
Agriculture
Retail Trade

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Unionization rate highest among: Government Telecommunication Transportation Construction Manufacturing Lowest among: Finance

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Distribution of union membership
13% men versus 11% women
14% African American versus 12%

Distribution of union membership 13% men versus 11% women 14% African American
white
11% Asians
10% Hispanics
A trade union (British English, where also amalgamation is used), labour union (Canadian English) or labor union (American English)

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Decline of Unionism

22 million workers in 1980
15.3 million workers in 2009
Structural changes

Decline of Unionism 22 million workers in 1980 15.3 million workers in
in economy
Increased management opposition to unions
Substitution of machinery for workers
Improved wages, fringe benefits, and working conditions

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Collective Bargaining

Union status
Closed shop
Union shop
Agency shop
Open shop
(A closed shop is a form of union security

Collective Bargaining Union status Closed shop Union shop Agency shop Open shop
agreement is a form of union security agreement under which the employer agrees to hire unionmembers only, and employees must remain members of the union at all times in order to remain employed)

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Collective Bargaining

Managerial prerogatives
Wages and hours
Seniority and job protection
Grievance procedures

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Collective Bargaining Managerial prerogatives Wages and hours Seniority and job protection Grievance procedures LO7 13App-

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The Bargaining Process

Begins 60 days before contract expires
Possibility of strike
Compromise
National Labor Relations

The Bargaining Process Begins 60 days before contract expires Possibility of strike
Board

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Economic Effects of Unions

Featherbedding and work rules
Output losses from strikes
Efficiency losses from

Economic Effects of Unions Featherbedding and work rules Output losses from strikes
labor misallocation
Offsetting factors
Featherbedding is the practice of hiring more workers than are needed to perform a given job, or to adopt work procedures which appear pointless, complex and time-consuming merely to employ additional workers.
The term "make-work" is sometimes used as a synonym for featherbedding.

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