Thursday, January 20, 2011

The argument for unions

In America the stereotype seems to be that Democrats support unions and Republicans are against them. While I don't assume this stereotype to be 100% accurate, I have talked with enough people to know that it holds some water.

What I can't figure out is why. The only reason Unions exist is the free market. The other option is that the government gets involved in defending the rights of workers. Obviously government involvement in private industry would be considered infringing on free market principals. Typically government only gets involved when it is seen as being for the common good and no there is no financial incentive for private industry or individuals to get involved. The EPA would be an example of this.

The argument you are making when you suggest that unions are bad is that the free market only applies to the companies and that the rights of the employees are not protected under the free market ideology. Given that the vast majority Americans are not business owners but employees most Americans should support the idea of unions.

I assume the real issue is something similar to the health care reform bill where in general people support it but have issues with specific parts. This is a bit of a throw the baby out with the bath water approach. What is odd however is that American citizens tend to put the blame for the things they don't like about unions solely at the feet of the unions. Unfortunately for this view, unions sign contracts and these contracts are agreed to by both the companies employing the union members and the unions. When you go to buy a house you tend to offer less than you are willing to pay. When the seller accepts your low ball offer is it your fault that you asked for a low price or the sellers fault for accepting it? The answer is both and believing that the contacts reached by unions with private companies are any different show a clear bias.

Do I love everything that unions do? No. They are a free market creation and have free market flaws, but they are as American as apple pie and baseball. Using support of free market as rationale for being against unions suggests you really don't understand the very free market principles that you claim to love.

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