Much of corporate America has failed to connect the dots on two of the biggest economic stories of the last year: a tight labor market and rising worker organizing. After more than 40 years of declining union membership, low unemployment has given workers more power, and there has been a tremendous upswing in the number of workers asking to hold union elections. Together, these trends signal a sea change in the relationship workers have with their employers. Companies that ignore these trends are missing an opportunity to chart a new, more sustainable and equitable version of capitalism. And if they don’t reverse course, their myopic view of union organizing will have significant ramifications not only for the future of our economy, but also our democracy.
How to Work with Your Unionizing Employees
For decades, when companies learned their employees were considering unionizing, they followed a familiar playbook: do everything possible to fight and frustrate the unionization effort. Leaders often take a union drive personally, and see unions as a threat, failing to see the legitimacy of workers’ demands. But right now, with a tight labor market and rising worker organizing, companies should reconsider this approach, and opt for ones that lead to better outcomes for both workers and employers. An ugly anti-union effort can hurt morale, reputation, and increase turnover. Conversely, companies that take steps like voluntary recognition, partnering to create the best conditions for a fair campaign, and respecting workers’ decision can preserve a positive relationship with their employees.