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CHAPTER THIRTY-SIX LABOR MARKET ISSUES: UNIONISM, DISCRIMINATION, AND IMMIGRATION INSTRUCTIONAL OBJECTIVES After completing this chapter, students should be able to: 1. Identify the industries and occupations with the highest percentage of union members. 2. Identify two factors that have led to the decline of unionism. 3. List and explain the major clauses in a labor-management agreement. 4. Summarize and evaluate the positive and negative views of union influence on efficiency and productivity. 5. Describe four types of labor market discrimination. 6. Illustrate graphically the cost of discrimination. 7. Explain how an employer’s taste-for-discrimination is reflected in the value of “d,” the discrimination coefficient. 8. Give two examples of statistical discrimination. 9. Explain the crowding model of occupational discrimination. 10. List three major antidiscrimination laws and policies that involve direct government intervention. 11. Contrast and evaluate the views of supporters and opponents of affirmative action. 12. Describe the negative effects of reverse discrimination. 13. Illustrate graphically the predicted economic effects of migration, and then discuss four complications relevant to this model. 14. Define and identify terms and concepts listed at the end of the chapter. LECTURE NOTES I. Unionism in America A. About 16 percent (17 million) U.S. workers belong to unions ; most of the unions are voluntarily affiliated with the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). (Global Perspective 36-1 compares U.S. union members with other industrialized nations.) B. In the United States, unions have generally adhered to a philosophy of business unionism. 1. Concerned with the practical short-run economic objectives of higher pay, shorter hours, and improved working conditions. 2. Union members have not organized into a distinct political party. C. The likelihood of union membership depends mainly on the industry: membership is high in government, transportation, construction, manufacturing and mining; low in agriculture, finance, insurance, real estate, services, wholesale and retail trade. (See Figure 36-1a-b) 458
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Labor Market Issues: Unionism, Discrimination, and Immigration D. The decline of unionism. 1. Since the mid-1950’s union membership has not kept pace with the growth of the labor force. Union membership has declined both absolutely and relatively. 2 . The structural-change hypothesis says that changes unfavorable to union membership have occurred in both the economy and the labor force. a. Employment patterns have shifted away from unionized industries. b. A higher proportion of the increase in employment recently has been concentrated among women, youths and part time workers; groups allegedly hard to organize into unions. c.
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