1. Trade Unions At the end of this chapter you should be able to: describe trade unions and their functions in an economy distinguish between different types of trade union analyze why industrial disputes occur and how they are settled

2. What is a trade union? Many workers belong to labor unions or trade unions. Trade unions exist primarily to promote and protect the interests of their members with the purpose of improving their wages and working conditions. In return, members will often pay a small fee to belong to a union.

3. The functions of Trade Unions. defending their employee rights and jobs securing improvements in their working conditions, including hours of work and health and safety at work improving their pay and other benefits, including holiday entitlements improving sick pay, pensions and industrial injury benefits encouraging firms to increase worker participation in business decision-making developing and protecting the skills of union members

4. Types of trade union 1 General unions represent workers from many different occupations and industries. For example, Amicus in the UK represents all sorts of clerical, manufacturing, transport and commercial workers in both the public and private sector. 2 Industrial unions represent workers in the same industry, e.g., the Turkish Union of Defense Workers (TURK HARB ), National Union of Mineworkers in South Africa (NUM) and the Overseas Telecommunications Services Employees Association of Mauritius (OTSEA). 3 Craft unions are often small and relatively few in number today. They usually represent workers with the same skills across several industries, such as the Union of Operators and Technicians in Cinema and Video Projection in Spain and the United Brotherhood of Carpenters and Joiners of America. 4 Non-manual unions and professional associations, sometimes called white-collar unions, represent workers in non-industrial and professional occupations, such as the Association of Iranian Journalists (AOIJ), All India Bank Officer Association (AIBOC), German Police Union (GDL) and the National Union of Teachers (NUT) in the UK.

5. Industrial action When negotiations fail, trade unions may take industrial action to put pressure on their employers. Official action means it has the backing of the union, and other unions may also take action in support. Unofficial action means that workers taking industrial action do not have the support of their union. 1 Overtime ban - when workers refuse to work more than their normal hours 2 Work-to-rule - when workers comply with every rule and regulation at work in order to slow down production 3 Go-slow - working deliberately slowly 4 Sit-in - when workers refuse to leave their place of work, often in an attempt to stop a firm installing new machinery or closing down 5 Strike - when workers refuse to work and will often protest, or picket, outside their place of work to stop deliveries and non-unionized workers entering the firm.

6. Common Misconceptions and Errors Why it is wrongError Trade unions only represent the workers who have joined the trade union and not all the other workers. 'Trade unions represent all workers.' Trade unions do talk to management in some cases and try to find ways to increase productivity so that there will be an improvement in the working conditions for their members. 'Trade unions always cause trouble and call the workers out on strike.' Only trade union members will go out on strike, not the other workers. Also, strikes can be for a short period of time, such as half a day, just to make a point. They do not necessarily go on for very long as workers do not get paid for the time they are on strike. They only get some pay from the union if it has sufficient funds to pay them some money. 'A strike is when all the employees stop work and don't come back to work until the dispute is settled.'