22.2 The American Labor Force

Organized Labor

The civilian labor force includes men and women 16 and up who are either working or actively looking for a job

Organized Labor

Labor unions are groups of workers who band together to obtain higher pay and better working conditions (14 percent of American workers)

Organized Labor

Workers who perform the same skills join together in a craft or trade union; industrial unions bring together different types of workers in the same industry

Organized LaborBefore they were declared illegal in 1947

(by the Taft-Hartley Act), closed shops were one kind of union arrangement; a worker had to first join a union to be hired by a company

A business that only hires union members

Organized Labor

22 states have passed right-to-work laws which prevent mandatory union membership required by the union shop

Organized Labor

A union cannot be brought into a workplace unless a majority votes in favor of it; the National Labor Relations Board makes sure these elections are fair

Negotiations

Unions carry out collective bargaining, officials from the union and company meet to discuss workers new contract, wages, and benefits

Mediation occurs when a third party tries to help the union and company reach a compromise

Negotiations

Arbitration occurs when a third party listens to each side and decides how to settle the disagreement

Negotiations

Workers can call a strike, in which all workers in the union refuse to go to work in the hopes the company will accept the union’s contract terms

Strikers usually carry signs in front of their workplace; picketing is meant to discourage workers from working and building support for the strike

Negotiations

Unions can also encourage members and the public to boycott or refuse to buy, the business’s products

Negotiations Management can use a lockout against

strikers; the company prevents workers from entering buildings until they accept their contract terms

Negotiations

An injunction is a legal order of a court preventing some activity; it can be used by companies to prevent strikes or unions to prevent lockouts

Negotiations

In extreme circumstances the government may resort to seizure, a temporary takeover of operations to allow the government to negotiate with the union

22.3 Businesses in Our Economy

Roles of Businesses

Businesses can act as consumers they buy goods and services from other businesses

Businesses are also employers, they provide jobs to millions of workers

Roles of Businesses

Businesses are also producers, large and small businesses produce items to meet people’s basic needs and things that make life more enjoyable

Responsibilities

1. Responsibilities to Consumers: selling products that are safe, products and services should work as promised; businesses should also be truthful in their advertising and should treat all customers fairly

Responsibilities

2. Responsibilities to Owners: to protect stockholders corporations are required to release important financial information, this is called transparency; this allows investors to decide if they want to invest in the company

Responsibilities

3. Responsibilities to Employees: to give workers a safe workplace and treat all workers fairly and without discrimination, treating employees differently on the basis of race, religion, color, gender, age, or disability

Responsibilities

4. Responsibilities to the Community: more businesses are emphasizing their social responsibility, the obligation to pursue goals that benefit society as well as themselves; gifts to charities are one example of how businesses meet this social responsibility