RedBull
Registered
In re: “ All a union does is protect the incompetent and trouble makers . ”
While I may agree
with some of your points ,
this statement is not true .
That is not all a union does .
In re: “ All a union does is protect the incompetent and trouble makers . ”
While I may agree
with some of your points ,
this statement is not true .
That is not all a union does .
To the part about other countries, I don't disagree with your position.I guess I can say this today without getting into trouble, as I am retired. A lot of experience here dealing with unions as a corporate officer. My initial experience was in a country where revolutionary movements influenced trade unions to destabilize industry with the only objective being their revolution goals. They were not interested in the worker, it was purely politically motivated. Coming to the USA with that background made dealing with unions here a walk in the park.
That said, I believe in capitalism, survival of the fittest and the need principle. If there were no unions, the economy would have been a lot stronger and a whole lot of industry would never have left the US to set up operations in Asia. The way I have always been programmed in the corporate environment is to add value to the extent where it justifies the organization needing me. I have never expected a company to look after me, rather the other way around.
" If employers don't want an organized workforce, they should not treat their employees like dirt."
In my experience how an employer treats and individual is directly proportional to the value the individual adds. When they really need you, they really take care of you. If not, probably been in the job too long, time to go somewhere else where you can add value.
I walked the whole path, did not fly into a little comfortable corporate nest from the top. I have been apprentice, labor, supervision, manager and much later VP. So my perspective may differ from your perception.That's
To the part about other countries, I don't disagree with your position.
Regarding this country there are a couple of issues: A strong economy doesn't necessarily equate to better working conditions, profit is the indicator most often used and depressing wages increases margins.
Industry didn't leave the US due to unionization of the workforce, it left because there was an opportunity to substantially increase profit margins by doing so.
Capitalism as practiced here in the USA is capitalism in name only. The market is protected from failure, that my friend is socialism. Tax payer bailouts? Welfare. The farm bill? Welfare. Tax breaks for corporate entities? Welfare. The industrialist class in this country has been protected by the government since its inception.
In your experience I'm sure that the idea of value is true, however your experience is as a corporate officer rather than a member of the rank and file. From a corporate perspective, labor is a commodity, to be leveraged like any other. The problem with that position is that labor consists of human beings not inanimate objects.
I'm not suggesting you flew anywhere, butI walked the whole path, did not fly into a little comfortable corporate nest from the top. I have been apprentice, labor, supervision, manager and much later VP. So my perspective may differ from your perception.
Profit margins and unionization unfortunately had a very big influence here, especially GM. They go hand in hand and made many of our manufacturing industries non-competitive.
Anyone who has worked and done extensive business overseas will differ with your opinion about capitalism as practiced in the US.
Also, for those of us who still get our hands dirty, there is a whole different economy in small business which is largely unregulated. Best example is go spend time with a small one man GC building contractor who does custom homes. It is capitalism to the endth degree, where management and labor is the same thing.
This could be a long conversation, probably a different thread a different time. If you are suggesting we should have no reference point for comparing capitalism and it is a pure definition destroyed by regulation then we are not on the same page.I'm not suggesting you flew anywhere, but
your corporate perspective is articulated from the management end of the spectrum, which where my comment originates. Unionization didn't drive manufacturing overseas, if that were true, prices would have dropped as labor costs did. They obviously didn't. GM and both the other US automakers spent many years making substandard products in a protected market, and foundered when trade restrictions were lifted allowing the Asian countries to compete.
Capitalism is an economic system, not a political one. It operates on principles which are dictated by the market, not government. That is not what is practiced here, regardless of what country one compares it to. That's not my opinion, that is fact.
Of course small business is regulated. The contractor you describe has to be licensed and insured at very least. Its not capitalism. Small business doesn't stand a chance in a true free market. They can't take advantage of the economy of scale. That's why we have anti-trust laws.
From a union perspective we will probably always have opposing opinions, based on our life experiences. It was a long time ago, but I spent four weeks with Toyota in Japan. Back then the PhD and the no college education candidates straight of school start their careers at the same level. Everything was measured by performance metrics and 60% of compensation was based on bonus related to output. If the PhD could use his education as an advantage in output, he would be ahead. Otherwise not. Try and do that in a factory with a well established union, opposing TPM and autonomous maintenance where there is job protection and an employee may not add value outside of his allowed activities. Compare that to job advancement due to seniority rather than merit. Then analyze how it affects head count, output, productivity and total manufacturing costs. Do a comparison of non-conformance costs.We can certainly discuss this further. I'm on my phone currently, but I will pick it up when I get a chance.
Capitalism is a concept, an economic system. Pure capitalism allows the market to dictate everything, that is not how it is applied in this country.This could be a long conversation, probably a different thread a different time. If you are suggesting we should have no reference point for comparing capitalism and it is a pure definition destroyed by regulation then we are not on the same page.
No, but capitalism doesn't provide for regulation. A contractor license is a form of regulation.Having a contractor licensed is against capitalism?
And the company you worked for was able to purchase items at far deeper discounts than what a small business could. That is how economy of scale advantages big business.....Economies of scale, I use to do $11,000 per minute out of one factory, among several. But then there is the corporate overhead and all the indirect costs associated with a fortune 10 company and the union and abuse of workers comp etc., etc. There is tremendous opportunity for small business with hard work.
If a person circumvents regulations then they are cheating the system, and all bets are off. The comparison is only valid if it is a comparison of how things are supposed to work, not how well they can be taken advantage of.Today I am retired and I make money out of my hobby when I feel like it. As a one man show, I do cabinets for high end residences. My costs for an average 4,000 sq ft home is approximately 1/5th that of a large contractor using pre-fab units. It takes me around 4 to 5 weeks and my prices are 3/4 that of the big guy no prefab, furniture grade. The profit is handsome, do your math on a $60,000 job and explain to me the economies of scale? A large portion of the labor in this business is underground, all the sub needs is insurance. There is no employment contract in most cases no medical insurance no comp no regulation. It’s a buddy system you have not been exposed to. How do you think all the illegals survive here and live well?
I think that the bailout was necessary, but my point is that a bailout is counter to the economic system favored by the people it benefited. It is socialism, not capitalism. The anti-regulation folks sure are glad someone was there to provide them a safety net. Hypocrisy in action.....Finally, what do you think the consequences would have been if there was no bail-out during the credit crunch based on pure economics and cash flow drying up?
It would appear so. Unions are both necessary and effective, when formed and utilized correctly.From a union perspective we will probably always have opposing opinions, based on our life experiences.
Organizations see labor as a commodity, skilled labor as a more valuable one. Seniority based advancement hinges on the idea that those who have been there the longest are the most valued because they have acquired the largets skill set. It is a common position of weak management to blame poor labor relations on a union, but organizational theory will teach you that a certain percentage of any workforce will be shirkers, unionized or not. There are many factors which contribute to organizational success, or lack thereof.It was a long time ago, but I spent four weeks with Toyota in Japan. Back then the PhD and the no college education candidates straight of school start their careers at the same level. Everything was measured by performance metrics and 60% of compensation was based on bonus related to output. If the PhD could use his education as an advantage in output, he would be ahead. Otherwise not. Try and do that in a factory with a well established union, opposing TPM and autonomous maintenance where there is job protection and an employee may not add value outside of his allowed activities. Compare that to job advancement due to seniority rather than merit. Then analyze how it affects head count, output, productivity and total manufacturing costs. Do a comparison of non-conformance costs.
Respectfully, that is oversimplifying things a bit I believe. There are other factors involved in that comparison, such as location, culture, wages, benefits, employee pool etc.How do I know this? For the same organization some of my factories were unionized, some were not. The comparison was easy.
Agreed.I think you have to look at this sort of academically first, then look at the dirty details. There is a lot that Unions improved. For example, the 40 hour work week and 2 weeks of vacation. Without a union the worker is alone and without power. Owners are predators by nature - that's an entrepreneur's role in a capitalist system.
And they they found ways to reduce their own tax burden and transfer this resposibility squarely on the employees.Business used to pay the equity debt owed the worker through pensions. They didn't do this out of the goodness of their hearts. Happy workers with money were loyal customers and that is what built the greatest economy the world has yet to know. In truth, Henry Ford's real contribution was not mass production, it was creating middle class consumers. However when this started to get expensive due to people living longer with expectations of better healthcare, the government stepped in with social security. So businesses stopped having to pay the equity to the workers and that came out of the taxpayer's pocket - not the company's.
I disagree that a capitalist system is always out of balance. It is always balances, it jsut isn't always equal.So here is the academic side of this: Money and greed are insanely effective motivators. Hence, capitalism. Capitalism needs a market. Pay people decent money and they will spend that money. Raise people's standard of living and the bottom limit rises also. If a significant number of people fall below that raised bottom limit, you have destabilization - the enemy of capitalism. So capitalism is war by other means, if I may turn a phrase. A capitalist system is always out of balance, always correcting itself. These are the "correcting" systems that our version of capitalism is built on:
Supply and demand has nothing to do with need. An artifical demand (a want) is still a demand.1. Supply and demand. Factories make stuff people want to buy. Funny, I read somewhere that less than 30% of our economy goes to things we need, most goes to things we want. So this screws around with the metering effectiveness of supply and demand.
And this steering of capiatlism is what makes it a modified version. Goverment interference in the market is not capitalism. The market dictates everything....2. The government provides incentives to point the engines of capitalism in a sustainable direction. This is primarily done with tax policy (that's why you can write-off some of your mortgage interest) but also trade policies like tariffs. This is the problem with the current President's policy on tariffs. Yes, we get the short end on many trade relationships, but those deals were made to balance our economic might when dealing with smaller economies - you can't take tariffs in isolation. Our economy needs markets in Europe and Asia to continue growing. Those countries are not going to let is in to control their markets so unequal trade relationships are the cost of playing in those markets.
Where's that dead horse emoji?3. The government maintains an even playing field (law enforcement).
Unions are interference too. A market driven economy would allow the businesses that don't take care of their workers to fail. No interference needed. Downside is that people would die....4. Unions protect the workers. Remember, the majority of our economy depends on you and me buying stuff. So protecting workers is essentially protecting the market.
Again, I agree. I just wish that people would stop calling the economic system in this country capitalism, it isn't, and those who are advantaged by it don't want it to be.So, have Unions over stepped their mandate? Absolutely. But you can't just get rid of them because they are part of a system - you have to fix them. When government regulation gets out of control you can just go laissez faire, you have to fix it.
That's where we have to dive into the dirty details.
Every organiztion exists to further its own existence. The difference is in how they do that. Private companies report to owners and/or sharholders, public organizations to their stakeholders. Once a union shifts focus from protecting members to protecting it's own employees, it will take a different approach. The term non-profit doesn't mean revenue negative, it is supposed to mean that any revenue generated is put back into the organization to increase effectiveness. Allowing for operating overhead, the members of the union should see the revenue used to make their representation more effective.So odd how business are viewed and the villain. And a different BUSINESS that pretends to care about people a Union is so great. It’s the same thing other than the Union don’t employ people they take their $$. Just like government. But some people think that’s everyone saving grace also...