Steve Randy Waldman
@interfluidity.com

1) In places where the unit of bargaining is sectoral, not firm or plant or job or agency, strong unions don't confer a competitive disadvantage by bargaining well. Structurally, unionization in the US stands in tension with employer success in a way it does not elsewhere;

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Steve Randy Waldman
@interfluidity.com

2) In part because there is no implacable misalignment, unions and employers are frenemies: Yes, unions and employers fight over respective shares of the pie (in money, benefit, conditions including safety, etc)… But they are also able to recognize a shared commonality of interest.

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Steve Randy Waldman
@interfluidity.com

Both unions and employers want their industry to thrive, and can find mutual advantage in efficiency gains, a bigger pie to split.

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Steve Randy Waldman
@interfluidity.com

This kind of reasoning is short-circuited in a US context, because union activity is pitted against the competitive efficiency of particular employers from the get-go.

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Steve Randy Waldman
@interfluidity.com

Some alignment still happens — unions and employers might both support a tariff. But in basic, fundamental, ways, US unions are set up to overlook employer efficiency, because the alternative is to concede everything.

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Steve Randy Waldman
@interfluidity.com

If each union agrees it mustn't bargain too hard for fear of kneecapping an employer relative to some competitor, what results is no bargaining power at all, a race to the bottom across unionized shops.

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