What is the point of public labor unions?
Private sector companies will iteratively attempt to maximize its profits, sometimes to the detriment of the workers. Labor unions attempt to solve this by ensuring that the supply of labor is kept low and the demand and value of that labor is high. Companies tolerate this, provided productivity remains reasonable. Companies also have a vested interest in not passing the increased cost of running a Union shop along to the consumer, as it will probably generate interest in their competitor’s products.
But what about in the Public sector?
Given that government cannot maximize profits, because by definition it is non-profit, and the incurred cost is directly transferred back to the taxpayer. So why exactly are public labor unions allowed to exist at all?
Now watch this drive!
What is the point of public labor unions?
Moderators: Alyrium Denryle, Edi, K. A. Pital
Just because the government doesn't operate for profit doesn't mean it doesn't want to keep costs down; it doesn't have an unlimited amount of money to work with. The interests of management are always going to conflict with the interests of labor in any field of employment, so that's why public service unions exist as well.
Mind you, I hate unions, that's just my thoughts on why public service unions exist.
Mind you, I hate unions, that's just my thoughts on why public service unions exist.
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