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Discuss impact unionization has on the public sector

Nearly 40% of public sector employees are members of a bargaining unit or union (versus approximately 8% for the private sector). Evaluate and discuss the impact unionization has on public sector productivity, both the advantages and disadvantages.

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Unions in the public sector.

1. A 2003 study discussed whether unions would decrease productivity and increase costs while workers wanted to know whether pay and benefits would improve. The results of the studies were mixed as noted in the attached article, but a summary stated that 'Public sector unions do not have a significant impact on government productivity one way or the other, but they may push for more government services and workers. Public sector unions have been moderately successful in improving the wages of government workers, especially those at the lower reaches of the wage scale, and even more so the non-wage benefits of these workers.

2. The initial purpose for labor unions in commercial industry was to attempt to force companies to share profits with employees through increased wages ...

Solution Summary

The 491 word cited solution explains six possible impacts of unionization in the public sector