Business Unionism
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A business union is a type of
trade union A trade union (British English) or labor union (American English), often simply referred to as a union, is an organization of workers whose purpose is to maintain or improve the conditions of their employment, such as attaining better wages ...
that is opposed to class or revolutionary unionism and has the principle that unions should be run like businesses. Business unions are believed to be of American origin, and the term has been applied in particular to phenomena characteristic of American unions. This idea originated over the court's difficulty when regulating ''worker's industrial rights'', specifically in the decades after the Civil War. The origin of the term "business unionism" is contested. Michael Goldfield (1987) notes that the term was in common usage before Hoxie was published in 1915. According to Goldfield, Hoxie used the term to describe trade-consciousness, rather than class-consciousness; in other words, according to Hoxie, business unionists were advocates of "pure and simple" trade unionism, as opposed to class or revolutionary unionism. This sort of business unionism is what
Eugene Debs Eugene Victor Debs (November 5, 1855 – October 20, 1926) was an American socialist, political activist, trade unionist, one of the founding members of the Industrial Workers of the World (IWW), and five-time candidate of the Socialist Party o ...
often referred to as the "old unionism".


Characteristics


Internal organization

One major characteristic of "business unionism" is the principle that unions should be run like businesses. These unions would be organized as top-down hierarchies, with dedicated employees paid in a stratified way. Business unionism typically features a centralized structure, where union representatives independently manage negotiations and other functions, with less direct involvement from the
rank and file Rank and file may refer to: *A military term relating to the horizontal " ranks" (rows) and vertical " files" (columns) of individual foot-soldiers, exclusive of the officers *A term derived from the above used to refer to enlisted troops, as oppo ...
. Union representatives often play a key role within this structure, representing union workers in negotiations. According to this model, the main 'battleground' for organized labour moves from the shop floor to the boardroom, where well-paid business leaders of the union negotiate with well-paid bosses of the company.


Craft unionism

The members of a union's identity is defined by their craft. Craftsmen involved in the metal and building trades did help set a positive image for their companies. They feel solidarity towards their fellow co-workers as opposed to the greater working class. The unions adopt an exclusive policy as opposed to an inclusive one. This can cause a fragmentation of workers. The unions are more inclined to fight against reorganization of work by their employers. Business unions are sometimes not inclined to expand their membership and organize outside workers. Union leaders shared a form of populism that spoke to three key groups of people-- patriotic producers, wage earners, and guardians of basic rights.


Economic interests

The unions only view their goal to protect immediate economic interests. These economic interests are restricted to getting higher wages, better working conditions, and job security. "In other words, the horizon of union action is straight-forward and short-term: to produce constant and immediate improvements in the material conditions of union members' lives." Business unions also do not seek worker input into technological changes that change the structure of the companies that employ workers. The result is an intense focus on the
collective bargaining Collective bargaining is a process of negotiation between employers and a group of employees aimed at agreements to regulate working salaries, working conditions, benefits, and other aspects of workers' compensation and labour rights, rights for ...
process, conducted according to rigid specifications. This outlook can be contrasted with social unionism, a union movement that seeks to improve life overall for workers—for example by struggling against
racial discrimination Racial discrimination is any discrimination against any individual on the basis of their Race (human categorization), race, ancestry, ethnicity, ethnic or national origin, and/or Human skin color, skin color and Hair, hair texture. Individuals ...
in the workplace.


Rights vs. powers

Centrally-controlled business unions tend to advocate for workers' "rights", a set of enumerated conditions to which workers are entitled. Large federations felt it was crucial to appeal to all citizens in general who believed in "equal rights" and were held in jeopardy by corrupt administrators. If these rights are violated, the worker may begin a process of complaints that ultimately yields compensation. A consequence of this outlook is that instead of simply organizing and demanding power on the
shop floor The shop floor is the production area, such as in a factory or another working space and is the floor where workers produce goods. The term "shop floor" refers to the area of a factory where production takes place. The shop floor excludes the are ...
, workers follow a pre-determined system that does not allow major changes in the workplace.


Source of workers' problems

Business unions often attribute workers' issues to employer practices in resource distribution rather than systemic factors. They also blame the unfair distribution of the surplus through the work process. They are not radical in their outlook and do not blame the capitalist system as a whole for these problems. They also do not believe in a radical change to the system. Business unionists generally aim to negotiate for fair distribution and address inequality within existing structures.


Politics

Business unionism is also viewed as being non-partisan, although members tend to be "liberal" politically.Moody, ''An Injury to All'' (1988), p. 56. "Business unionists were more likely to be political liberals than the employers they dealt with, but in normal times they did not see the union as a vehicle for social change." It is believed that to adopt political allegiances would divide union members. The unions would make political allegiances based on pragmatism, supporting different parties on an issue-by-issue basis, but refusing to offer permanent allegiances. There is a tendency to think business unionism is automatically non-militant but that is not true. Business unions may use negotiations, strikes, or other methods to achieve results for members. However, business unions use strikes and direct actions differently than social unions. Business unions tend to only use strikes to exert and maintain their bargaining position. Business unions often seek cooperative approaches with management, viewing stable employer-employee relations as beneficial.


Examples of business unions


Canada

*
Unifor Unifor is a Canadian general trade union founded in 2013 as a merger of the Canadian Auto Workers (CAW) and Communications, Energy and Paperworkers unions. It consists of 310,000 workers, and associate members in industries including manufactu ...
* SEIU Healthcare * Trades and Labour Congress of Canada *Canadian Federation of Labour (1982) – In 1982 a group of construction unions covering approximately members united to form a new Canadian Federation of Labour. These unions had been suspended from the
Canadian Labour Congress The Canadian Labour Congress, or CLC ( or ), is a national trade union centre, the central labour body in Canada to which most Canadian trade union, labour unions are affiliated. History Formation The CLC was founded on April 23, 1956, thro ...
(CLC) for nonpayment of per capita tax. The two bodies differed on matters of representation at CLC conventions, dual unionism and the CLC standard that Canadian officers of affiliated unions be elected by the Canadian membership. The CFL philosophy is summed up in the statement of its president, James McCambly: "We are committed to leaving politics to the politicians and to concentrating on being effective representatives of labour's interest within the political system." By 1996 CFL membership had shrunk to as some of its affiliates rejoined the CLC. In 1997 merger discussions were taking place between the two labour centrals. *
Christian Labour Association of Canada The Christian Labour Association of Canada (CLAC) is a labour union that represents companies in the construction, healthcare, and food industries. It was established in 1952 to represent workers on the basis of "Christian social principles". Th ...
* Seafarers International Union of Canada


United States

*
American Federation of Labor The American Federation of Labor (A.F. of L.) was a national federation of labor unions in the United States that continues today as the AFL-CIO. It was founded in Columbus, Ohio, in 1886 by an alliance of craft unions eager to provide mutual ...


See also

*
Company union A company or "yellow" union is a worker organization which is dominated or unduly influenced by an employer and is therefore not an independent trade union. Company unions are contrary to international labour law (see ILO Convention 98, Article ...
*
Labor aristocracy In Marxist and anarchist theories, the labor aristocracy is the segment of the working class which has better wages and working conditions compared to the broader proletariat, often enabled by their specialized skills, by membership in trade unions ...
* Labor federation competition in the United States *
One Big Union (concept) The One Big Union is an idea originating in the late 19th and early 20th centuries amongst trade unionists to unite the interests of workers and offer solutions to all labour problems. Unions initially organized as craft unions. Workers were orga ...


References


Bibliography

* * * Ross, Stephanie, and Larry Savage. ''Rethinking the Politics of Labour in Canada'', Winnipeg: Fernwood Publishing, 2012. . {{Organized labor, sp=ox Trade unions