Block 3 - Rise & Decline of Labour Unions.pdf - Block 3 The...

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Block 3: The rise and decline of labour unions M.Nageb 1 University of London B.Sc Core Management Concepts Block 3: The Rise and Decline of Labour Unions Lecturer: M.Nageb
Block 3: The rise and decline of labour unions M.Nageb 2
Block 3: The rise and decline of labour unions M.Nageb 3 BLOCK 3: THE RISE AND DECLINE OF LABOUR LEARNING OUTCOME What is the learning outcome of this chapter • outline the key features of the history of labour unions • describe the potential benefits of unions to firms and employees • discuss the reasons for union decline in modern industrial societies. 3.1 Introduction Why labour unions are on the MN2177 syllabus? Why are Labour Unions still on the Core Management Concepts syllabus? Well, they represent a really important aspect of the development of firms and management. They emerged as an initial response to the development of large workplaces and remind us how quickly the world has changed in the last 200 years. They remind us that employees have a choice of voice or exit . That collective bargaining power can be significant. That the law to protect employees is very different to how it is. And it all reminds us why managers should take employee voice seriously . Finally, and fundamentally, understanding unions helps you to understand that there are often difficult decisions to make with regard to balancing forced cooperation with consummate cooperation.
Block 3: The rise and decline of labour unions M.Nageb 4 3.2 LABOUR RELATIONS IN THE SHORT TWENTIETH CENTURY Study Guide • Outline the key features of the history of labour unions 1. 19 th Century • During this time, Industrialisation in Europe and the immigrant society of the US, required the creation of an industrial labour force for a factory system which was substantially different from a pre-industrial and agrarian society. • This shift was marked by political and economic issues which had its impact on both industrial practice and the development of academic theories 2. Proposition of this chapter – 4 Proposition 1. Industrialisation and the factory system needed a labour force quite substantially different from the preceding pre-industrial and agrarian work force. 2. This transition had resistance which culminated into the formation of unions and political development (for example the labour party in the UK supports the unions) 3. The strategies of management had to change from compulsion to co-operation to ensure that labour force were able to comply with performance attributes . In addition capital-intensive industries warranted skill labour force . This increased the bargaining power of the labour force against management.
Block 3: The rise and decline of labour unions M.Nageb 5 4. What developed further, to ensure that performance attributes were complied with, was the provision of labour welfare and this eventually resulted in the establishment of human resource management (Block 4) .

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