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CHAPTER 15 - Union Role in Wage and Salary Administration (Unions and…
CHAPTER 15
- Union Role in Wage and Salary Administration
Unions and Alternative Rewards System
Pay-for-Knowledge Plans
Gain-Sharing Plans
More money
Increased feeling of achievement or contributing to the organization
Increased influence of union
Greater contributions to the nation's productivity
Increased involvement with job activities
Compatibility with union goals
Better job security
Increased recognition
Fewer grievances
Employee Stock Ownership Plans (ESOPs)
Profit-Sharing Plans
Union influence is undermined
Increased productivity may reduce need for jobs
Bonus calculations are not understood or trusted
Grievances may go unprocessed
Peer pressure to perform may increase
Gain sharing is incompatible with union goals
Management cannot be trusted
Employees really do not want more involvement
Management may try to substitute it for wages
Lum-Sum Awards
The Impact of Unions in Wage Determination
Impact on the structure of wages
Impact on nonunion firms (spillover effect)
Impact on general wage and benefit levels
The size of the gap varies from year to year
Unions do make a difference in wages, across all studies and all time periods.
Impact on wage and salary policies and practices in unionized firms
Occupation-Wage Differentials
Experience/Merit Differentials
Other Differentials
Basis of Pay
Wage Adjustment Provisions
Deferred wage increases
Reopener clauses
Cost-of-living adjustments (COLAs)
Vacations and Holidays