I'm all for people organizing themselves to get a better bargaining position, but I think labor unions are much too broadly organized. 'The' worker does not exist. Some are just starting their careers, some just have a few years before retirement. In a world that changes faster and faster, this creates problems.
In my country for example labor unions (provided businesses agree) can make a legally binding 'collective labor agreement'. These cover stuff like wages and working hours, but also education, right for compensation on day care and pensions. This is where the conflicting interests of workers emerge. Labor unions in my country - invariably - choose for the elderly worker. Right to education goes down, rights on day care and stuff as well. All because nothing may happen to the pensions. And it's worse. At least 10% of my own savings for my pension, flows directly into the pockets of retired people. I'm not allowed to change pensions, I'm not allowed to opt out. Nobody is. And I'm one of the lucky ones. Young people working for our government get cheated out of 20% of their savings. They also 'save' money to retire early, except that our unions agreed to stop the possibility as per 2018 or something, and these youngsters know this.
In my country for example labor unions (provided businesses agree) can make a legally binding 'collective labor agreement'. These cover stuff like wages and working hours, but also education, right for compensation on day care and pensions. This is where the conflicting interests of workers emerge. Labor unions in my country - invariably - choose for the elderly worker. Right to education goes down, rights on day care and stuff as well. All because nothing may happen to the pensions. And it's worse. At least 10% of my own savings for my pension, flows directly into the pockets of retired people. I'm not allowed to change pensions, I'm not allowed to opt out. Nobody is. And I'm one of the lucky ones. Young people working for our government get cheated out of 20% of their savings. They also 'save' money to retire early, except that our unions agreed to stop the possibility as per 2018 or something, and these youngsters know this.
