Trade union - S3

Once a TU is recognised in a workplace, the negotiations with the employer are called...

• collective bargaining

• group bargaining

• informed bargaining

• bargaining

Trade unions...

• Co-ordinate with firms to implement new working practices

• Bargain for higher wages with the possibility of strikes

• Represent workers, e.g. pay and working conditions.

• Answer 1-3

A trade union is pressing for a wage rise for its members. Which of the following would increase its chances of being successful?

• an increase in productivity

• an increase in unemployment

• a decrease in profitability

• a decrease in union membership

Which is a reason why a trade union may ask for a wage increase for its members?

• a higher rate of inflation

• higher unemployment in the economy

• lower productivity in the industry

• lower profits in the industry

All of the following are claimed benefits to workers from joining a trade union except:

• advice and support for workers who is exploited by employers

• strength in numbers while talking to employers on their rights

• a guaranteed pay increase each year with longer holidays

• improved communication between workers and managers

Which of the following is not a function of a trade union?

• improving working conditions

• increasing shareholders' dividends

• raising members' wages

• representing members' interests

A trade union persuades an employer to raise the wage he pays his workers above the equilibrium level. What is the most likely outcome?

• More workers will be employed as it will be easier to recruit them.

• Some workers who retire or leave for other jobs will not be replaced.

• The firm will increase its output to raise the revenue needed to pay the higher wages.

• The firm will the wage rate higher to ensure demand equals to supply

It costs money to an employee to become a member of a trade union. TRUE or FALSE?

• TRUE

• FALSE

A trade union is negotiating a wage rise for its members. What will increase the chance of the wage rise being granted?

• The company’s product has many substitutes.

• The economy is entering a period of recession.

• The government has made strike action illegal.

• Wages are a small part of the company’s costs.

All of them are actions employees could take except:

• negotiations

• work to rule

• taking long leave

• strike action