Verified Document

Unions There Are Several Differences Research Paper

There is a greater emphasis on written decrees or by-laws in union governance. Such rules help to enforce the structure of the union and create a system of governance (Housden, 2010). However, these rules lack consistency and at times lack transparency. For employers, such rules are generally limited and the managers are given significant leeway with respect to achieving their singular goal.

Lastly, the nature of the publicly-traded corporation means that there is more consistency and transparency in governance of employers. The governance principles and structures do not vary significantly from one employer to the next, even if the overall effectiveness of the governance mechanisms does. In unions, governance can vary dramatically. There is far less transparency, and there is often little direct contact between union leadership and the rank-and-file. Union leadership serves the needs of multiple locals, in addition to union head office. The possibility of conflicting objectives between these groups means that governance is less consistent. The lack of securities regulators in union affairs means that there is less transparency in union governance as a whole. Overall, this makes union governance weaker than that of public corporations, and increases the likelihood of fraud or financial malfeasance. That said, these problems still exist among employers as well, a result of shareholder disinterest in the governance process and a myopic pursuit of profit that causes shareholders to ignore malfeasance when profits are high.

In recent years, unions have begun to participate in the governance process of corporations (Banks & Metzgar, 1989). This has allowed unions to have some oversight of...

This situation reflects the fact that unions are active stakeholders in companies that employ their workers. Unions typically agree with the objective of increasing profit, but believe that their added voice to governance helps with their objectives with respect to distributing that profit.
Governance of employers is typically a transparent process, and the objectives of this governance are simple and easy to define. This contributes to a generally strong governance process. However, the weakness in the system lies in the pursuit of only one goal, such that governance of issues that do not directly and immediately affect profit can be weak. Union governance is considerably less transparent due to lack of regulation, and can suffer from layers of bureaucracy between workers and union leaders. There is greater risk of goal conflict in union activities, further weakening the governance process. The softness of union governance can be exploited by management, particularly as union members are often less organized than their leadership is.

Works Cited:

Banks, a. & Metzgar, J. (1989). Participating in management: Union organizing on a new terrain. Labor Research Review. Vol. 1 (14) 1-55.

Friedman, M. (1970). The social responsibility of business is to increase its profits. New York Times Magazine. Retrieved February 5, 2011 from http://www.colorado.edu/studentgroups/libertarians/issues/friedman-soc-resp-business.html

Housden, C. (2010). Union governance finally cleaned up with passing of bylaws. Scan Online. Retrieved February 5, 2011 from http://scan.lusu.co.uk/news/2010/11/17/union-governance-fi-nally-cleaned-up-with-passing-of-bylaws/

Sources used in this document:
Works Cited:

Banks, a. & Metzgar, J. (1989). Participating in management: Union organizing on a new terrain. Labor Research Review. Vol. 1 (14) 1-55.

Friedman, M. (1970). The social responsibility of business is to increase its profits. New York Times Magazine. Retrieved February 5, 2011 from http://www.colorado.edu/studentgroups/libertarians/issues/friedman-soc-resp-business.html

Housden, C. (2010). Union governance finally cleaned up with passing of bylaws. Scan Online. Retrieved February 5, 2011 from http://scan.lusu.co.uk/news/2010/11/17/union-governance-fi-nally-cleaned-up-with-passing-of-bylaws/
Cite this Document:
Copy Bibliography Citation

Related Documents

Union Membership Paradox Union Is
Words: 2242 Length: 5 Document Type: Term Paper

(Labor Law: Decline of union membership and power has led to rise in lawsuits) What happened at the same time was that employers were able to finally step up their opposition to unions, which was something that they had probably wanted to do for a long time, and this was achieved through the methods of legal proceedings as well as political pressurizing and lobbying. Today, unions can no longer protest

Union Negotiations Collect Bargaining
Words: 2928 Length: 10 Document Type: Research Paper

Union Negotiations In the 1990s, America was undergoing a major transformation. What was happening, is globalization (i.e. free trade agreements) made is possible to have access to numerous markets around the world without having to worry about tariffs. This created a transformation in the way many firms are operating by giving them the ability to: increase their profits and lower their labor costs. (Watcher, 2007, pp. 23 -- 29) In the case

Union Labor Disputes Canada Wal-Mart
Words: 6077 Length: 20 Document Type: Term Paper

But when it just recently occurred in 2004 at a store in Jonquiere, British Columbia, the reader must appreciate that a real battle had been won. The original efforts of that particular store for example had the local labor Commission reject certification by a margin of 74 to 65. When the union announced that it won the coveted certification at Quebec, it was quite a blow to the retailer.

Social and Political Differences Among
Words: 2507 Length: 8 Document Type: Thesis

Religion played an important role in the lives of many of the Northern colonists as well, but by the time of the Revolution it was not nearly so prevalent in the politics of the day as it had been during the earlier times of the Puritan and Pilgrim settlements. This was, in fact, one of the main societal -- and ultimately political -- differences between the Northern colonies and the

Several Questions About Nursing Leadership
Words: 908 Length: 2 Document Type: Essay

Human Resources Week 6 Live Chat An example of a change in demographics is when the demographic mix in society changes. This is an ongoing process, occurring daily. New census figures show the totals over a specific period, but somebody working in health care will be able to notice a demographic shift as it occurs. I have no idea what is meant by changes in disease. Changes in societal norms and values could

Differences Between the Civil War and the Revolutionary War
Words: 1680 Length: 5 Document Type: Essay

Revolutionary War, loyalist leaders like Benjamin Franklin's son Governor William Franklin, warns of "all the horrors of a Civil War" when advising his constituents to remain loyal to the crown.[footnoteRef:1] Therefore, the American Revolution and the Revolutionary War were self-consciously considered to be a type of Civil War. Furthermore, when the Civil War of the 1860s broke out amid the United States, it seemed that similar dialog was being

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now