Question

How do union strikes affect the overall impact on a business or corporation (i.e. employees, profit, etc.). Is this beneficial to the overall success of the economy?

Answer 1

Labor strikes are the result of government and employers ' failure to address labor disputes in a friendly manner. Employees in the private sector have the right to participate in a legitimate strike. In some states, public servants are allowed to strike. Labor unions engage employers in talks to try to avert disputes before a strike takes place. Once the negotiations fail, labor strikes happen. Labor strikes have some negative and positive impacts on the society they work within.In cases where an employee strike has not been adequately sanctioned, employers may choose to take punitive action against all those participating in labor strikes. Some workers may be issued with a notice or employees may be laid off in extreme cases. This leaves families without an income source. Many people are homeless when they fail to pay rent while others turn to crime.

Employers were made more conscious of the working conditions of their workers and the interests of employers as a result of a strike. Issues bottled up by workers were brought to the open. Therefore, an agreement is reached between the leaders of the management and the union. Better conditions are given, including higher wages. This leads to better working and living conditions for the whole community.

Some of the essential services in any community are transportation and health services. Striking worker protests lead to closed road paths and slow movement of traffic. A rail worker labor strike paralyzes transportation contributing to the lack of work or the inability of children to attend school. These absenteeism is costly for the economy. A strike by health workers in a major hospital can lead to the death of patients.

Labor strikes make multinational companies aware of the need to improve infrastructure in the areas from which they work. Industrial companies may be forced to monitor harmful emissions or repair damaged roads in their business areas. Labor strikes can also lead to more schools and health facilities being constructed to benefit the community.