4.1.6.5 Trade Unions and Labour Markets NOTES

What factor significantly affects the bargaining power of trade unions in a labour market?

• The structure of the labour market

• The number of holidays workers get

• The number of trade unions in the market

• The brand reputation of the companies involved

How does high labour mobility influence trade unions' ability to negotiate?

• Has no impact on trade unions' negotiations

• Increases their influence due to better job alternatives for workers

• Decreases their influence as workers cannot move freely

• Reduces the number of workers joining unions

What role does government legislation play in the effectiveness of trade unions?

• It has no significant impact

• It only affects the union leaders

• It shapes the environment in which trade unions operate

• It decreases the cost of living

During economic downturns, how are trade unions likely to be affected in their bargaining power?

• They are more likely to secure wage increases

• Their power increases significantly

• Their bargaining power may diminish

• They focus more on recruiting new members

What is a likely outcome when a trade union is introduced into a perfectly competitive labour market?

• Increase in wages but possible reduction in employment

• Immediate increase in employment levels

• No change in wages or employment

• Decrease in overall market competition

How can a trade union impact a monopsony labour market?

• By negotiating higher wages and better working conditions

• By decreasing wages due to increased competition

• By having no impact on wages or employment

• By increasing job security without affecting wages

What is the effect of competitive labour markets on trade unions' ability to negotiate?

• Enhances job security for all workers

• Leads to a decrease in union membership

• Faces challenges due to many alternative job options

• Increases their ability to secure higher wages

Which factor enhances the influence of trade unions?

• Restrictive labour laws

• Economic downturns

• Strong legal protections for workers' rights

• High unemployment rates

How does globalization impact the negotiating power of trade unions?

• It increases their power by expanding their influence internationally

• It diminishes their power due to increased competition

• It has no significant impact on their negotiating power

• It leads to better collaboration between unions across borders

In what way can trade unions influence corporate policy?

• By lobbying for legislation that favors workers

• By directly negotiating benefits and wages with employers

• By endorsing political candidates who support labor causes

• All of the above