1. Labor Market Trends Occupational Trends Shifts in the job market reflect major shifts in the economy Industrial revolution caused shift in job market from agriculture to industry Today shifts toward electronic and computer related firms, and transfer of information U.S. changing from manufacturing economy to service economy The Changing US Worker Workers required to be more educated Learning effect: theory that education increases productivity and results in higher wages Screening effect: theory that the completion of college indicates to employers that a job applicant is intelligent and hard working More women, temporary workers Trends in Wages And Benefits Slight decline in average earnings for American workers over past 20 years Earnings for college graduates have gone up Benefits workers receive have increased

2. Labor Force All non-military people who are employed or unemployed Bureau of Labor statistics (BLS) reports monthly on the current labor force and historical trends Employment and unemployment related to supply and demand in work force Labor force made up of those who have jobs, those looking for jobs, and those waiting to start work People are counted as unemployed if they are 16 years or older, not institutionalized, and meet other requirements To be considered employed, an individual must be at least 16 years old and meet several other requirements Labor force is divided into employed and unemployed

3. Organized Labor Labor and Labor Unions Employees often have little control over the condi- tions of their work Workers from labor unions to try to improve their working con- ditions, wages, and benefits Rise of the Labor Movement Arose largely in response to changes brought by the Industrial Revolution Used strikes, organized work stoppages intend -ed to force and employer to address demands Began to boom in the 1930s The AFL and the CIO were united in 1955 with the aim of organiz- ing workers in numer- ous big industries Decline of the Labor Movement As unions grew, some began to abuse the great amount of power they had Taft-Hartley Act allowed states to pass right-to-work laws banning mandatory union membership Changes in U.S. economy reduced union membership Types of workplaces Closed shops hire only union members Union shop will hire nonunion mem- bers but require them to join the union within a cer- tain period of time Agency shops hire nonunion workers and do not require them to join the union Collective Bargaining Union and com- pany represen- tatives meet to negotiate new labor contracts Negotiation issues include wages and ben- efits, working conditions, and job security Strikes and Settlements When unions and companies cannot settle a new con- tract, must seek other options, such as strikes Mediation: compa- nies bring in neutral mediators who find solutions both sides accept Arbitration: third party imposes deci- sion that both sides must accept

4. Labor Market Trends Occupational Trends The Changing US Worker Trends in Wages And Benefits

5. Labor Force

6. Organized Labor Labor and Labor Unions Rise of the Labor Movement Decline of the Labor Movement Types of workplaces Collective Bargaining Strikes and Settlements