Now That You're Unemployed, How 'Bout Becoming an Ewok Chief?
State and municipal officials on both sides of the political spectrum are increasingly taking on public employees unions--promising to cut pensions, freeze salaries, and inhibit collective bargaining--to address budget shortfalls.
But the antagonism against labor unions is not limited to the public sector, or to public officials. As The New Yorker's James Surowiecki points out, a Gallup poll during the Great Depression--when
unions gained newfound power--found that more than 70 percent of
respondents favored unions, compared with less than 50 percent today.
Is the backlash a fleeting product of the recession, or does it signal an irreversible decline in organized labor's influence?
Just seven per cent of private-sector workers belong to a union. The benefits that union members still get--like defined-contribution pensions or Cadillac health plans--are out of reach of most workers. And the disappearance of unions from the private sector has radically diminished the threat [to unionize] effect, meaning that unions don't raise the wages of non-union workers.
The result is that it's easier to dismiss unions as just another interest group, enjoying perks that most workers cannot get ... Labor, in other words, may be caught in a vicious cycle, becoming progressively less influential and more unpopular.
Marxian rhetoric in general, about class or rent extraction or the balance of power between capital and labor, is treated with great suspicion by the broad mass of the population.
Meanwhile ... the people who control capital are willing and even eager to take money they would otherwise use employing middle-class Americans, and spend it on cheaper and equally productive workers abroad.
If the era of the union is over, as it seems to be, what other countervailing force will work to preserve the value of labor?
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ufriedman at theatlantic dot com.
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Uri Friedman
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