Student answer (a) In US business unionism focuses on benefits to existing members, (opposed to other countries like Britain) employers’ organizations are not prominent at any level, however, employer’ organizations that seek to maintain unions away from employees have been prominent. (b) Diversity creates a wider range of variation employment practices, (to mention one factor) but Britain lacks such factor, in addition, the government does not support employment regulation as it happens in US. (i) New modernized methods of union organizing have been implemented such as intensive direct communication with prospective members through young well-educated organizers. (ii) In the US diversity has been a strong factor leading to wider employment arrangements. (c) (i) (i) according to Olson the likelihood of cross-national cooperation confronts different barriers such as, divergent interests, national differences in language, culture, law and union structure. However the potential exists. Student answer US employers are amongst the most anti union employers in the world because unions tend to hurt productivity and reduce profit margin.  Business Unionism uses the principle that unions should operate like a business.  It has been attractive to the US employees because business union jobs pay better wages than non-union equivalents.  It is operated by employers and employees, therefore the interest of all parties is advocated. To expand union membership, the US confederation, the AFL-CIO tried to modernise and broaden issues that attract union members such as child care and equal pay.  They have also used young well-educated organisers and involve extensive direct communication with prospective members and links to community groups such as churches. The union density plummeted in the US because of the split of the major unions forming a coalition called the CTW - change to win coalition.  In the UK the fall was due to state labour policies, management resistance and workplace practices, changing composition employment and the labour force and issues internal to unionism. Non union personnel practices have developed the furthest in the US. Cross-national cooperation is possible through trade and treaty agreements.  The major difference between liberal and coordinated is the ability to obtain capital without having to plead with a bank.  The liberal has the access to capital via public markets such as stocks and bonds while this is not so with the coordinated. Olson will say that cross-national cooperation will break barriers and economic incentives such as increased trade will be gained. Student answer (a) The U.S. operates on "Employment at will" where employers do not have to provide just cause for dismissal, reasonable notice or severance pay on dismissal of an employee. The U.S. business unionism, focuses narrowly on providing benefits to existing members. (b) The AFL-CIO  tried to modernize and broaden issues that attract union members, (.

1. Student answer
(a) In US business unionism focuses on benefits to existing
members, (opposed to other countries like Britain) employers’
organizations are not prominent at any level, however,
employer’ organizations that seek to maintain unions away from
employees have been prominent.
(b) Diversity creates a wider range of variation employment
practices, (to mention one factor) but Britain lacks such factor,
in addition, the government does not support employment
regulation as it happens in US. (i) New modernized methods of
union organizing have been implemented such as intensive
direct communication with prospective members through young
well-educated organizers. (ii) In the US diversity has been a
strong factor leading to wider employment arrangements.
(c) (i) (i) according to Olson the likelihood of cross-national
cooperation confronts different barriers such as, divergent
interests, national differences in language, culture, law and
union structure. However the potential exists.
Student answer
US employers are amongst the most anti union employers in the
world because unions tend to hurt productivity and reduce profit
margin.
Business Unionism uses the principle that unions should operate
like a business. It has been attractive to the US employees
because business union jobs pay better wages than non-union
equivalents. It is operated by employers and employees,
therefore the interest of all parties is advocated.
To expand union membership, the US confederation, the AFL-
CIO tried to modernise and broaden issues that attract union
members such as child care and equal pay. They have also used
young well-educated organisers and involve extensive direct
communication with prospective members and links to

2. community groups such as churches.
The union density plummeted in the US because of the split of
the major unions forming a coalition called the CTW - change
to win coalition. In the UK the fall was due to state labour
policies, management resistance and workplace practices,
changing composition employment and the labour force and
issues internal to unionism.
Non union personnel practices have developed the furthest in
the US.
Cross-national cooperation is possible through trade and treaty
agreements. The major difference between liberal and
coordinated is the ability to obtain capital without having to
plead with a bank. The liberal has the access to capital via
public markets such as stocks and bonds while this is not so
with the coordinated.
Olson will say that cross-national cooperation will break
barriers and economic incentives such as increased trade will be
gained.
Student answer
(a) The U.S. operates on "Employment at will" where employers
do not have to provide just cause for dismissal, reasonable
notice or severance pay on dismissal of an employee. The U.S.
business unionism, focuses narrowly on providing benefits to
existing members.
(b) The AFL-CIO tried to modernize and broaden issues that
attract union members, (child care and equal pay). They used
young, educated organizers and involve extensive direct
communication with prospective members and links to
community groups such as churches.
Union density plummeted because of these reasons: macro-
economic context, changing composition employment and of the
labor force, management resistance and workplace
practices, state labor policies andinternal issues in unions.
Nonunion personnel practices developed furthest in the U.S
(c) Cross national allows nations to trade amongst each other.

3. Olson would say that cross-national cooperation would help a
country's economy grow. The economic incentives would be
giving all barriers to trade between countries ex) tariffs and non
tariffs.
Student answer
Historically, US employers have been the most antiunion, but
the British system was probably the worst among the
industrialized nations from the standpoint of competitiveness.
Until a couple of decades after the Donovan Commission report
Britain had multiple craft unions in each plant represented by a
single shop steward; in part in response to the needs of US
multinationals doing business in Britain, the article says that the
trend has favored single-union plants.
a) Why are US employers among the most anti-union
employers in the world? What is business unionism, and why
has it been attractive to US employees but not to employees in
most other countries?
a. The US economy is arguably the most market-driven
economy in the world, with policies that more often reflect the
interests of free-market competition and a lack of government
interference or corporate activity. American businesses see
unions as antithetical to those ideas, and are subsequently more
anti-union than businesses in any other country.
Business Unionism is the idea that unions should be run like
businesses, in that they reflect the industries and companies, as
opposed to representing classes or revolutionary ideas. Unlike
other countries, US unionism did not develop out of a class
system (because class systems never really existed), and the
idea of class-based unionism never really took hold.
b) In Britain there has been less regulatory stability than in
the US as alternative Conservative and Labor governments have
passed laws antagonistic to (e.g., the 1971 Industrial Relations
Act) and friendly to (e.g., the 1999 national minimum wage
under Tony Blair) unions, but the union density is much higher,

4. more than double, than in the US.
a. What are steps the US confederation, the AFL-CIO has
taken, including internecine conflict and departures of unions
from the AFL-CIO, to expand union membership?
i. US labor groups
have adopted proposals such as membership rebates to
encourage organizing activity by smaller unions. This reflects a
bit of a shift in policy from increased political activity. Smaller
unions have also taken to become part of larger unions in an
attempt to increase resources and gain appeal through increased
bargaining power.
b. Why has union density plummeted in both countries?
i. Union density
plummeted in Great Britain as a result of the conservative
policies of Thatcher’s government in the 1980s. In the United
States, globalization forces have made union labor less
appealing to management, and have driven many workers to
non-union sectors.
c. In which country have nonunion personnel practices
developed furthest?
i. Because of the
historically low union density, non-union practices in the US
have developed further than any other country.
c) According to Katz and Colvin, the authors of the piece on
US labor relations, a solution to labor's global woes is cross-
national cooperation among labor movements in different
countries. At the same time, Bamber et al., in their introduction
to the book, claim that there are two or more fundamentally
different varieties of capitalism, liberal and coordinated.
a. If there are two fundamentally different kinds of
capitalism, how is cross-national cooperation possible? Are the
kinds really different?
i. Even though
there are two different types of capitalism, there are enough
smaller variations to find some common ground. That being
said, the different forms of capitalism in different countries are

5. identified by the authors as the single largest obstacle to cross-
national cooperation in unions.
b. What would Olson say about the likelihood of cross-
national cooperation? Where are the economic incentives?
i. Olson would
say that such cross-national cooperation would not be likely,
because of the increased regulation that would come with
increased governmental involvement. The only incentives for
cross-national cooperation, Olson would argue, is for the
union—in that it would increase the number of dues-paying
members, and the potential political clout for the union.
Student answer
(a)
In US the diversity in employment relationships is growing due
to an increase in non-union employment, which suggests that
union density is decreasing. In Britain, union membership has
fallen about 40 per cent since 1979 and is struggling to adapt to
changes of the 21st century.
(b) The American Federation of Legislation (AFL) as well as
the Congress of Industrial Organization (CIO) play an
influential role by developing the collective bargain. Union’s
political actions can influence rewards or punishments among
politicians and lobbying for legislation. However, The Trades
Union Congress has not direct involvement with collective
bargaining, its primary role is to lobby governments.
(c) In US decentralization is one factor leading to changes in
collective bargaining. As companies withdrew from master
agreements, bargaining shifted to the plant level, and pattern
bargaining weakened. In Britain however, in recent years there
has been an increase in employment regulation by the state. The
outcome of such interaction is in process.

6. (d) In US there has been an extensive legislative activity in
employment discrimination. In 1964 the government prohibited
discrimination in the grounds of sex, race, color, religion, or
national origin. In Britain there is less incentive from the
government to abolish discrimination and class inequalities.
Student answer
The US operates under the "employment at will"theory while
the British labor relations system can be characterised by
voluntary relations between the social partners with a minimal
level of interence from the state. In th US the NLRA provides a
structure of rules establishing employee rights with respect to
collective action. In 2007 union density in the US was
approximately 36% in the public sector and 7.5% in the private
sector. As of 2008, the amount of union membership in the
workforce in the UK was 7.6 million and the percentage density
fell from 56% to 28%.
In the US the AFL-CIO which is the federation of national
unions monitor the operations of unions by providing a voice,
resolving disputes, enforcing policies and ethical practices and
providing a link to the international movement. After 1980,
collective bargaining have been progressively decentralised
with bargaining shifting from company wide agreements to the
plant level. Varying work practices and pay systems have
contributed to this collective bargaining decentralisation. The
EFCA is yet to be passed. This law will serve to benefit and
protect employees in terms of unlawful discharge, unfair labor
practices and provide arbitration in negotiating contract.
The British Unions played a part in establishing the labor party
in 1906. It has however distanced itself from unions since the
mid 1980s because it secured funding from the business sector.
The TUC is one of Britains main union confederation. Their
main focus is to lobby government on union issues, provide
services to the affiliated unions and adjudicate disputes between
unions. Before world war 1, there were centralised negotiations

7. across industries which left little room for workplace
bargaining. After world war 2 and the rise of the single-
employer bargaining by the mid 1970s collective bargaining was
decentralised throughout much of the private sector. In regards
to fairness a minimum wage was first introduced in 1999 and
relative pay inequality has not been addressed but has been
institutionalised in the form of bonuses and performance-related
pay. Gender inequality remains evident and increased
immigration raises challenges in preventing and resolving
disputes over racial discrimination at work.
Student answer
(a) Union density (the percentage of the workforce that is
unionized).
In the U.S. in 2007, union density was approximately 36% in
the public sector and 7.5% in the private sector. The level and
density of unionisation has fluctuated since the end of World
War II for the British, between 1979 and 2008 union
membership fell by 5 million members to 7.6 million, with
union density falling from 56% to 28%.
(b) Nature of political engagement by the leading union
confederation (TUC versus AFL-CIO), including business
unionism in the US and the role of the British Labor Party.
The TUC is Britain’s one main union confederation and is not
directly involved in collective bargaining but lobbies
governments on union issues, provides services to affiliated
unions and judges disputes between affiliated unions.
AFL-CIO provides a national political and public voice for the
US union movement, they resolve jurisdictional disputes among
members, enforce codes of ethical practices and policies against
racial and sex discriminationand is also a link to the
international labor movement.
(c) Extent of decentralization and fragmentation.
In the union sector, the structure of collective bargaining is

8. highly fragmented and this fragmentation is increasing, with
most bargaining taking place at the single workplace level.
Since the 1980's, collective bargaining structures have been
progressively decentralised with the focus of bargaining shifting
away from companywide agreements to the plant level.
(d) History and importance of discrimination law (read between
the lines).
In Britain, increased immigration raises challenges in
preventing and resolving disputes over racial discrimination at
work. Bullying and harassment are more of an increasing
importance.
In the U.S, the Employee Free Choice Act (EFCA) is yet to
become the law, it involves: allowing unions to organise
through card check recognition, facilitation of speedy
processing of unfair labour practice claims, increased penalties
on employers who unlawfully discharge employees and
provision of interest arbitration if the parties are unable to
negotiate a first contract.
Student answer
In both Britain and the United States unions were formed for
and by skilled craftsmen. There was an increase of union
membership in both countries after World War II. Union
membership in Britain was at an all-time high in 1979 with
more than half of the countries working population (55.8%) as
members. In the United States, union membership was already
in the declining stages with only 27.1% of its workforce
belonging to unions in that same year. A change in British
government in 1979 caused an increase in private sector
employment which had an adverse effect on union memberships.
Even with continued membership decline, by 2007 Britain still
maintained a higher density of unionization than the US with
28% of its workforce affiliated.
In representing unions on a national level, AFL-CIO and TUC
initially had the same ideas in mind. Unfortunately, there is
little comparison in the outcomes. TUC has no political power

9. while AFL-CIO is known to have a “kingpin” position within
the labor movement. US unions play a major role in politics;
using their power to legislative purposes. They have grown so
powerful that the government treads lightly when dealing with
the union unlike TUC who was crushed by the conservative
government’s changes. Employers capitalized on the non-union
movement tying work performance and evaluations to job pay in
both Britain and the US.
At one time collective bargaining was performed on a national
level for entire industries. Workplace rules were hard to
establish on a national level and required more specifics.
Certain workplace practices were fit for particular
environments. Britain and the US experienced a shift trending
toward workplace level bargaining. This will add more to the
role of workplace and plant level managers. The will take on the
responsibilities of a HR specialists. To combat unfair work
practices the US government passed the Civil Rights Act of
1964 & established the Equal Employment Opportunity
Commission prohibiting varies forms of discrimination. Britain
adopted a similar governing body later in 2007 called the
Equality and Human Rights Commission. There is still relevant
income inequality in both countries. Britain and the US
continue to research different ways to promote better
opportunities to close the gap on income inequality and
workplace fairness.
Student answer
Union density (the percentage of the workforce that is
unionized)
a. Union density in the United States is and has always been
significantly lower than it has been in Great Britain.
b) Nature of political engagement by the leading union
confederation (TUC versus AFL-CIO), including business
unionism in the US and the role of the British Labor Party
a. Political engagement on the part of unions in the US and

10. Great Britain differ mainly in the type of involvement, even if
not the level of involvement. AFL-CIO’s primary political
activity comes in the form of endorsing (and punishing)
political candidates based on their proclivity toward labor
priorities. The TUC, however, approaches its political activity a
bit differently by being a financial supporter of the Labour
Party. In the US, groups like AFL-CIO also tend to use their
political muscle to directly pressure management into
complying with demands. The Labour party in Great Britain
does not have that same approach, but uses its influence to
shape public policy (which, concerning labor is far more
expansive than in the US).
c) Extent of decentralization and fragmentation
a. Bargaining in the United States is becoming far more
decentralized, as the center of negotiations becomes the plants
and companies instead of the industries. This trend is reversed
in Great Britain, where changes in labor relations driven by
European Union policies and other social factors are driving the
country toward increased centralization of collective
bargaining.
d) History and importance of discrimination law (read
between the lines)
a. In Great Britain, unions developed as a consequence of
the feudal class system. Until a spike in immigration in the
1990s, race discrimination was never a major issue for public
policy and was never addressed as such. The only
discrimination issue widely acknowledged by British markets is
the issue of gender equity—which parliament has taken some
steps to address.
In the US, discrimination issues were a main focus of public
policy through the 19th and 20th centuries. This led to a fair
amount of labor law focusing on preventing management’s
ability to discriminate against everything from gender to race,
religion, and even disability.

11. It is clear that discrimination law is a much stronger driving
force in the US than it is in Great Britain.