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Labor Unions and the Economy Target: I can explain the different types of unions and how the government interacts with unions.

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Presentation on theme: "Labor Unions and the Economy Target: I can explain the different types of unions and how the government interacts with unions."— Presentation transcript:

1 Labor Unions and the Economy Target: I can explain the different types of unions and how the government interacts with unions.

2 Labor Unions Organizations that attempt to improve the working conditions of their members through collective action

3 Labor Unions Organizations that attempt to improve the working conditions of their members through collective action It is beneficial to join a union b/c it allows workers to bargain as a whole and not as an individual

4 Types of Unions Craft unions – consist of people that generally have the same skill (electrician)

5 Types of Unions Craft unions – consist of people that generally have the same skill (electrician) Hence, they are often times called a horizontal union

6 Types of Unions Craft unions – consist of people that generally have the same skill (electrician) Hence, they are often times called a horizontal union Example – American Federation of Labor (AFL) est. in 1886

7 Types of Unions Craft unions – consist of people that generally have the same skill (electrician) Hence, they are often times called a horizontal union Example – American Federation of Labor (AFL) est. in 1886 They can be effective b/c these are skilled workers who cannot be easily replaced

8 Types of Unions Industrial Unions – workers that are employed in a particular industry (mine workers) both skilled and unskilled workers

9 Types of Unions Industrial Unions – workers that are employed in a particular industry (mine workers) both skilled and unskilled workers Hence, they are often times called vertical unions

10 Types of Unions Industrial Unions – workers that are employed in a particular industry (mine workers) both skilled and unskilled workers Hence, they are often times called vertical unions Generally, these unions have been unsuccessful b/c they are representing unskilled labor who can be easily replaced

11 Types of Unions Congress of Industrial Organization (CIO) was formed in 1935 and battled for membership with AFL, in 1955 they became the AFL-CIO

12 Labor Legislation (Gov’t involvement) In general, the government has shown great hostility towards unions

13 Labor Legislation In general, the government has shown great hostility towards unions Using the Sherman Antitrust Act, which made actions to restrain trade illegal, many state governments made it illegal to strike (impedes trade)

14 Labor Legislation In general, the government has shown great hostility towards unions Using the Sherman Antitrust Act, which made actions to restrain trade illegal, many state governments made it illegal to strike (impedes trade) Management of business could ask for an injunction

15 Labor Legislation In general, the government has shown great hostility towards unions Using the Sherman Antitrust Act, which made actions to restrain trade illegal, many state governments made it illegal to strike (impedes trade) Management of business could ask for an injunction Injunction – government order that forces workers to work

16 Labor Legislation The use of injunctions stopped with the Clayton Act (1914)

17 Labor Legislation The use of injunctions stopped with the Clayton Act (1914) Could not use the Sherman Act against unions

18 Labor Legislation National Labor Relations Act (Wagner Act) 1935

19 Labor Legislation National Labor Relations Act (Wagner Act) 1935 Guaranteed the right of workers to organize in Unions and bargain collectively

20 Labor Legislation National Labor Relations Act (Wagner Act) 1935 Guaranteed the right of workers to organize in Unions and bargain collectively However, following WWII, there were a series of strikes that hurt the economy

21 Labor Legislation National Labor Relations Act (Wagner Act) 1935 Guaranteed the right of workers to organize in Unions and bargain collectively However, following WWII, there were a series of strikes that hurt the economy Thus, Congress over-rode Truman’s veto and passed the Taft-Hartley Act

22 Labor Legislation Taft-Hartley Act

23 Labor Legislation Taft-Hartley Act Illegal for federal employees to strike

24 Labor Legislation Taft-Hartley Act Illegal for federal employees to strike It outlawed closed shops (forced to join a union)

25 Labor Legislation Taft-Hartley Act Illegal for federal employees to strike It outlawed closed shops (forced to join a union) Gave the president the power to seek injunctions against any strike that threatened national interest

26 Labor Membership Since 1960, union membership has steadily dropped with less than 12% of workers in a union today Compared to 1983: 20.3%

27 Take Econ Quick Quiz 7 www.theBigL.org


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