Management Essays – Organized Labor

Organized Labor


Organized labour refers to an association of workers who are grouped together to do a individual entity. The intent of this brotherhood is to better workers’ working environment and fiscal position with the aid of corporate bargaining with the employers. This association of organized labour is known asTrade UnionorLabor Union. In some states, the procedure of brotherhood formation is regulated by the authorities. AFL-CIO ( American Federation of Labor and Congress of Industrial Organizations ) is the largest federation of 56 national and international brotherhoods ( AFL-CIO: About Us, 2008 ) . Outsourcing of labour to Asia, Africa and Latin America, in the United States is driven by increasing cost of brotherhood partnership.

Structure of Organized Labor

Chiefly brotherhoods are organized on local, national and international footing. There is assorted types of unionism such as trade unionism ( peculiar subdivision of skilled workers ) , general unionism ( workers from different trades ) and industry unionism ( all workers of same industry ) . These local brotherhoods are united in national brotherhoods and farther affiliate with international brotherhoods like International Trade Union Confederation. In some states, a brotherhood is considered as an entity, which negotiates for its members with the employer. In such instances, brotherhoods, holding some legal rights are involved in corporate bargaining on working hours, rewards and other conditions. The state of affairs of non making at any consequence leads to an industrial action ( work stoppage, direction lockout, arbitration, etc. ) and in some serious state of affairs antisocial activities may take topographic point.

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Some brotherhoods holding no legal position remain unrecognised or acquire some condemnable or political or support. In many instances, it consequences into force and deceases. Some brotherhoods are involved in societal and political activities that use their strength for the improvement of their members. Unions may be defined on the footing of service theoretical account and forming theoretical account. The brotherhoods, which are based on service theoretical account, are involved in their members’ public assistance. And the brotherhoods, which are based on forming theoretical account, have brotherhood organisers, who build strong webs and assurance within the work force. Union leaders are elected through democratic elections.

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Organized labour construction ( Unions construction, 2008 ) may be shown as below:

Union Members > Union Representatives > Branches > Regional Office > National Office

Pros & A ; Cons

In local organized construction, the brotherhoods get benefited with the whole fund. It helps them to minimise their costs. Local brotherhoods have the benefit of the jurisprudence of the refering state. The con of local brotherhoods is their pro itself. It means local brotherhoods do non hold sufficient fiscal resources and endowment to pull off the fund ( Pros & A ; Cons Local, National, International Unions, 2003 ) .

National brotherhoods have assortment of gifted people. These are more powerful than local brotherhoods. Local brotherhoods may inquire for aid from national brotherhoods. The chief drawback is high rank fees of brotherhood ( Pros & A ; Cons Local, National, International Unions, 2003 ) .

International brotherhoods cover a big figure of members worldwide. These brotherhoods are cognizant of international labour Torahs and ordinances. The job of non association of national brotherhoods with these brotherhoods may be struggles within states.

Change in Structure

In present scenario, when the economic system is spread outing and outsourcing is distributing continuously ; there is a demand of some alteration in organized labour construction. It is found that there is a diminution in the brotherhood pay premium of low skilled worker in states, where outsourcing is high. Outsourcing is deteriorating the bargaining power of brotherhoods but the rewards of skilled workers are non worsening ( Hijzen, G?org & A ; Hine, 2005 ) . Now, we are in demand of some alteration in the brotherhood construction, which would take us to organize international brotherhoods. So, in the present planetary economic system, merely international labour construction can assist the employees in their public assistance. This international labour construction should avoid the struggles of faith, race, sex and others and should be helpful in increasing the democracy.


Therefore, we can reason that organized labour construction is really necessary for the development of workers. It safeguards them from acquiring exploited by the employer. Chiefly, local brotherhoods exist in states but in planetary economic system, we need an international construction of organized labour.


  • AFL-CIO: About Us. ( 2008 ) . Retrieved July 21, 2008 from hypertext transfer protocol: //
  • Hijzen, A. , G?org, H. & A ; Hine, R.C. ( 2005 ) . International Outsourcing and the Skill Structure of Labour Demand in the United Kingdom.The Economic Journal, 115( 506 ) , 860–878.
  • Pros & A ; Cons Local, National, International Unions ( 2003 ) . Retrieve July 21, 2008 from hypertext transfer protocol: //
  • Unions construction ( 2008 ) . Retrieved July 21, 2008 from hypertext transfer protocol: //

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