Trades Unions

History of Trades Unions

Trades unions were organised around the start of the twentieth century. After the first world war, the power of trades unions increased as they were increasingly recognised by government legislation and employers. The General Strike of the 1920s, bought the country to a virtual standstill and illustrated their potential power. The power of trades unions reached a peak during the 1970s. However,in the 1980s government legislation reduced the power of unions. The defeat of the coal miners in the 1984 strike marked a turning point. Apart from isolated industries, strikes have become less common.

Methods for Trades Unions achieving their Aims

1. Strikes
2. Picketing
3. Non –cooperation
4. Productivity deals. This occurs when the union bargains for higher wages in return for increasing productivity and introducing new working practises.

Power of T.Union depends upon

  1. Financial Reserves. Unions usually put a levy on members to build a fund which can be used during strikes.
  2. Union density. The percentage of the workforce in the union.
  3. Membership. The size of the trades union.
  4. Support of other unions. If related unions go on strike.
  5. Political support
  6. Attitude of firms
  7. Importance of workers in dispute. E.g. an effective strike by miners could disrupt a countries electricity supply. A strike by tube workers can bring caos to London transport.

 

Decline In Power of Trades Unions

Since 1979 Union membership has fallen by 5 million for the following reasons

  1. Deindustrialisation. Decline of the manufacturing sector where unions were once strong. (e.g. coal and steel industries.
  2. Union legislation
    1. Ended closed shops (where a worker had to be in a union to be employed - giving a union 100% density.
    2. Secondary picketing outlawed. E.g. you can't strike in sympathy of another union.
    3. Ballot necessary for a strike
    4. Political levy must come from a vote
  3. Growth of service sector at expense of manufacturing sector
  4. Growth of part time/ temporary jobs
  5. Privatisation of key industries.

 

What are the effects of unions on employment

  1. Depends on employer (monopsony, competitive)
  2. Efficiency wage theory
  3. Productivity increases

 

New Unionism

  1. Less confrontational
  2. Mergers e.g. UNISON
  3. Increase in service sector, and Part time workers

See also: Trades Unions