MGT 462 Chapter 15: Chapter 15 MGT 462
Document Summary
Chapter 15: union role in wage and salary administration. Impact on wage and salary policies and practices in unionized firms. Unions do make a difference in wages, across all studies and all time periods. Union workers earn between 8. 9 and 12. 4% more than their nonunion counterparts. Size of the gap varies from year to year. During periods of higher unemployment, impact of unions is larger. In unionized firms, voluntary benefits amount to 36. 9% of the total compensation package and 27. 8 for nonunion workers. Two-tier pay plans - wage structures that differentiate pay for the same jobs based on hiring date. Contract is negotiated that specifies that employees hired after a stated day will receive lower wages than their higher-seniority peers workin on the same or similar jobs. Spillover effect - fact that improvements obtained in unionized firms spill over to nonunion firms seeking ways to lessen workers" incentives for organizing a union.
