Lesson 16 — Activity 2: Labour Unions
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Lesson 16 — Activity 2:
Labour Unions
Warm Up
The labour movement was created by people standing up together for fair wages, safe workplaces, and decent work hours. In this activity, you will learn about
labour unions
and how they have impacted market and mixed economies.
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A labour union is an organization that represents the collective interests of workers in negotiations with employers over wages, hours, and working conditions. Labour unions were formed to fight for the rights of workers who were being treated unfairly and taken advantage of by employers.
Having a union on your side makes your job and your workplace safer and fairer. You get paid better and are more likely to have benefits that help you balance work with life at home. Your health and ability to do your job become important and your right to fair treatment gets enforced.
Labour unions:
- ensure a standard rate of pay (e.g., hourly wage, when overtime is received, and how much)
- ensure various working conditions and standards are met (e.g., safety regulations and conditions, tools, and supplies)
- ensure workers receive benefits, such as medical and dental coverage
There are many different labour unions in Canada, including Teamsters Canada, United Auto Workers, Canadian Teachers' Federation, and the Canadian Union of Public Employees (CUPE). The CUPE is the largest labour union in Canada. They represent workers in municipalities, education, libraries, universities, colleges, social services, health care, public utilities, transportation, emergency services, and airlines. There are around 630,000 members across Canada.
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When unions stand up for fairness, they raise the bar for everyone. Many of the things first won by unions are enjoyed by all workers today — minimum wages, overtime pay, workplace safety standards, maternity and parental leave, vacation pay, and protection from discrimination and harassment.
How have labour unions impacted market and mixed economies?
Although labour unions can make a difference in the quality of life of working Canadians, they also have an impact on market and mixed economies.
Labour unions have helped in market and mixed economies by causing the companies to treat their employees better. With labour unions, employees can demand better workplace safety, working hours, wages, etc. Because of unions, labour laws have been brought up in certain parts of the world, including Canada.
@creativecommons
Labour unions have also harmed market and mixed economies. The Canadian labour laws state that workers have a right to form unions. Unions make collective bargaining possible. This is when there are negotiations between an employer and a group of employees to determine the conditions of employment. By organizing workers into groups, unions can pressure employers about wages, working hours, and workplace safety. Strikes are a form of pressure. During strikes, workers as a group refuse to do their jobs.
This can lead to reduced economic growth of companies. Unions can strike for higher wages, which keep companies from making as much money as they can because they must pay their employers more. However, if companies don't want to pay these increased wages, they can move their businesses to other countries where labour is cheaper. These are just a couple of examples of how labour unions can impact market and mixed economies.
Self-check!
Try This!
Try the question below on your own first, and then click on the tab to check your answer! You can look back in the lesson to find the answer.
Name one way that unions help and one way that unions harm market and mixed economies in Canada.