Economic GrowthBetween 1945 and 1973, when a high percentage of workers were in unions, wages kept pace with rising productivi
ty, prosperity was widely shared and economic growth—and America’s middle class—was strong. Since 1973, the number of of people in unions have declined, causing real wages to stagnate, even though workers’ productivi
ty has steadily risen.
Productivity
According to a recent survey of 73 independen
t studies on unions and productivi
ty: “The available evidence points to a positive and statistica
lly significan
t associatio
n between unions and productivi
ty in the U.S. manufactur
ing and education sectors, of around 10 and 7 percent, respective
ly.”
Some scholars have found an even larger positive relationsh
ip between unions and productivi
ty. According to Brown and Medoff, “unionized establishm
ents are about 22 percent more productive than those that are not.”
Professors Michael Ash and Jean Ann Seago say heart attack recovery rates are higher in hospitals where nurses are in unions than in hospitals without unions. According to Professor Paul Clark, nurses, through their unions, improve patient care by negotiatin
g contracts that raise staff-to-p
atient ratios, limit excessive overtime and improving nurse training.
Training
Several studies in have found a positive link between unionizati
on and the amount and quality of workforce training. Unionized workplaces are more likely to offer formal training and this is especially true for small firms. Workers, through their unions, often negotiate contracts that include training, and unions often hold their own training.
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