Economics Chapter 12 The American Labor Force Section

Economics Chapter 12 The American Labor Force

Section 1: Americans at work • The Civilian labor Force – Those 16 or older, working or looking for work – Blue-collar workers- craft and manufacturing – White-collar workers- Largest sector, office, sales, professional. – Service-workers- cooks, barbers, health care aides

Jobs Categorized by Skill Level • Unskilled workers- No special training needed, server and custodial work • Semiskilled workers- Some training, nurses aide • Skilled worker- Learned a trade or craft, police and electricians. • Professionals- College degrees, Me • Some jobs crossover the lines.

Supply and Demand in the Labor Market • Three factors – Skill- highly skilled = higher salary – Type of job- dangerous jobs = higher pay – Location- Low population = higher pay • Restrictions on wages- Perfect competition would mean changing wage rates – Minimum Wage – Organized Labor

Section 2: Organized Labor • Development of Labor Unions – Late 1800 s to improve conditions and pay – Initial legislation against them. – Business refused to hire union workers. – Strikes- deliberate work stoppages, violence more often then not. – Mid-1930 s things change.

The American Labor Movement • Craft union- skilled workers in a specific trade. American Federation of Labor (AFL) • Industrial union- In an industry regardless of job or skill. Congress of Industrial Organizations (CIO) first significant one. • AFL-CIO formed in 1955.

Labor-Management Legislation • Norris-La. Guardia Act, 1932 - yellow dog contracts illegal, courts limited • Wagner Act, 1935 - Collective bargaining, National Labor Relations Board • Taft-Hartley Act, 1947 - Union shops could be ruled illegal. • Landrum-Griffin Act, 1959 - Union members rights.

How Unions are Organized • • Local Union Closed shop Union shop Agency shop Right to work laws forbid union shops National Unions- USW Federation Level- AFL-CIO

Collective Bargaining Between Unions and management Pay, hours, benefits etc. Cost-of-living adjustment Mediation- neutral party comes in. Federal Mediation and Conciliation Service. Free mediator on request • Arbitration- have to abide by decision • • •

Strikes and Management • Strikes have declined immensely since the 70 s. • Other union tactics – Picketing – Boycott • Management tactic – Lockout – Scabs- people brought in to break a strike

Decline of Unions • Collective bargaining brought fairness to the workplace. • Conditions good, no room for improvement. • Unions out of touch with members