THE COST OF UNIONIZATION

http://www.projectionsinc.com/article_cost_unionization.html

Cost-comparison analysis of unionized vs. non-unionized worksites

A March 2009 study released by the Bureau of Labor Statistics supports these claims.³ The study found that union-free employers paid an average of $19.06 per hour (wages and salary), while union employers in the same sector were obligated to $22.76 per hour. Additionally, unionized workers received $13.82 per hour in benefits, whereas union-free workers received $7.33 per hour in benefits. Of course, the argument could be made that union dues are not accounted for in this study, but does any of that matter if the company - or entire industry - collapses under the strain?


Why do so many organizations, such as Wal-Mart, FedEx, Citigroup, Associated Builders and Contractors, even the US Chamber of Commerce, take such a strong stance against unionization? . . . findings, according to Field, were that newly organized company's operating costs increased by more than 25 percent of their gross payroll and benefit costs. In his book, Field provides an example of a company with a gross payroll of $18 million, for whom unionization would then result in $4.5 million in additional annual operating costs.⁴ +


Jim Gray, president of Jim Gray Consultants, a firm that specializes in helping business leaders with human resources and business transitioning issues, found that businesses could expect to spend approximately $400,000 to more than $2,000,000 on a single unionization campaign.⁵ These costs includes items such as attorney's fees, travel expenses, meetings with employees, video presentations, lost productivity, and other items that are often hard to quantify but can add up to thousands – even millions – lost.


In his book, "Union Proof – Creating Your Successful Union Free Strategy," author Peter J. Bergeron notes that the cost of operating a unionized organization is estimated to be 25 to 35 percent higher than a union-free organization.⁸ This is because unionized organizations lead to larger human resources staff, increased legal counsel, increased involvement with regulatory agencies, loss of flexibility, and increased labor costs due to rules on overtime, grievances and arbitration processing, and many other requirements.

http://biggovernment.com/laborunionreport/2011/09/05/labor-day-the-union-tax-how-unions-kill-jobs/
Labor Day and the Union Tax:  How Unions Kill Jobs -- Big Government
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