CHAPTER 3.

4 TRADE UNIONS
-an organization that made up of employees which aims at protecting and promoting their
members. Collective bargaining: a process of negotiating of over pay and working condition
between unions and employer.

FUNCTIONS OF TRADE UNIONS:

1. Negotiate with employers
2. Defending employee’s right
3. Improving working conditions, and higher wages
4. Supporting workers who have been unfairly dismissed 解雇 or discrimination.

FACTORS THAT INFLUENCING THE STRENGTHS OF TRADE UNIONS:

A. High level of economics activity- will be shortage of labor
B. High level of skill- bc training unskilled worker may be costly
C. High membership- large majority of workers increase unions control
D. High demand for the product– increased in demand of product, increase demand for labor
Advantages to workers:

 Workers will benefit from collective bargaining power

 Lesser chance of being discrimination or exploited
Disadvantages:

 Need to pay membership fee

 Workers might get lesser wage or none if they go on strike
Advantages to firms:

 Time Is saved
 If firms agreed to trade union’s request, then – increase in productivity
Disadvantages to firms:

 If firms did not agree to the request, then trade union will go on strike
 Business will have increase costs and fall in output (loss in profit)
Advantages to government:

 Can find out more easily what workers like

 Gets advice on work- related legislation 立法

Disadvantages:

 Fewer people in work and price making exports become higher