| > but it is never in a union's interest to impair the business to the point where the jobs no longer exist. Yet, that’s what they do. The Packard car company is one such victim. Unions bankrupted Twinkies. The work rules imposed in union contracts required the company that makes Twinkies, which also makes Wonder Bread, to deliver these two products to stores in separate trucks. Moreover, truck drivers were not allowed to load either of these products into their trucks. And the people who did load Twinkies into trucks were not allowed to load Wonder Bread, and vice versa. All of this was obviously intended to create more jobs for the unions' members. But the needless additional costs that these make-work rules created ended up driving the company into bankruptcy. The labor leader John L. Lewis called so many strikes in the coal mines that many people switched to using oil instead, because they couldn't depend on coal deliveries. A professor of labor economics at the University of Chicago called John L. Lewis "the world's greatest oil salesman." The higher costs of producing coal not only led many consumers to switch to oil. They also led coal companies to substitute machinery for labor, reducing the number of miners. There is also a reason why labor unions are flourishing among people who work for government. No matter how much these public-sector unions drive up costs, government agencies do not go out of business. They simply go back to the taxpayers for more money. |
They have given the non-landed class of people a life that even a century ago was unheard of.
Countries that have decent levels of union involvement have much better working conditions and standard of living than countries that don't.
Blaming unions for failed companies is incredibly flimsy argument against unions as a whole.
Sure there are unions that contributed to the collapse of some companies, people make mistakes.
Bad management is a far more leading cause of business collapse than unions.