Labor Union

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Labor Unions in the United States
Posted Mon, 2010-02-01 17:21 by Anonymous

Gerald Friedman, University of Massachusetts at Amherst

Unions and Collective Action

In capitalist labor markets, which developed in the nineteenth-century in the United States and Western Europe, workers exchange their time and effort for wages. But even while laboring under the supervision of others, wage earners have never been slaves, because they have recourse from abuse. They can quit to seek better employment. Or they are free to join with others to take collective action, forming political movements or labor unions. By the end of the nineteenth century, labor unions and labor-oriented political parties had become major forces influencing wages and working conditions. This article explores the nature and development of labor unions in the United States. It reviews the growth and recent decline of the American labor movement and makes comparisons with the experience of foreign labor unions to clarify particular aspects of the history of labor unions in the United States.

Unions and the Free-Rider Problem

Quitting, exit, is straightforward, a simple act for individuals unhappy with their employment. By contrast, collective action, such as forming a labor union, is always difficult because it requires that individuals commit themselves to produce "public goods" enjoyed by all, including those who "free ride" rather than contribute to the group effort. If the union succeeds, free riders receive the same benefits as do activists; but if it fails, the activists suffer while those who remained outside lose nothing. Because individualist logic leads workers to "free ride," unions cannot grow by appealing to individual self-interest (Hirschman, 1970; 1982; Olson, 1966; Gamson, 1975).

Union Growth Comes in Spurts

Free riding is a problem for all collective movements,…...

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