3.4. Trade Unions

Trade Union

An organization of workers formed to promote & protect the interest of its members concerning wages, benefits & working conditions

Functions of Trade Union

• Negotiating wages & benefits with employers

• Defending employee rights and jobs

• Improving working conditions

• Improving pay and other benefits, including holiday entitlement, sick pay and pensions

• Encouraging firms to increase worker participation in business decision-making

• Developing skills of union members

• Supporting members taking industrial action

General Unions

represent workers across many different occupations

Industrial Unions

represent workers of the same industry

Craft Unions

represent workers with the same skill across different industries

Non-manual unions/Professional unions

represent workers in non-industrial and professional occupations

Collective Bargaining

Process of negotiating wages and other working conditions between trade unions and employers

Industrial Action

Industrial action is taken when collective bargaining fails to result in an agreement. Taking industrial action can help a union force employers to agree to their demands

Overtime ban

workers refuse to work more than their normal hours

Work to rule

workers deliberately slow down production by complying with every rule & regulation

Go Slow

workers deliberately work slowly

Strike

workers protest outside their workplace to stop deliveries/non-unionized workers from entering

Advantages of Trade Unions

• Could help to bring about minimum working standards

• Could help keep pay higher

• Could help maintain Employment/enhanced job security

• Could lead to improvement in health and safety

Disadvantages of Trade Unions

• It might cause a lack of flexibility in working practices

• This could be a major problem as fashions change very quickly

• This could lead to some firms going out of business

• Workers made redundant

• Workers will need to pay union membership fees.