Public-sector unions enjoy advantages that their private-sector rivals only dream of. As providers of vital monopoly services, they can close down entire cities. And as powerful political machines, they can help to pick the people who sit on the other side of the bargaining table... the American Federation of State, County and Municipal Employees was the biggest contributor to political campaigns in 1989-2004... such influence is more decisive in local campaigns, where turnout is low, than in national ones.Bottom Line: Unions protect workers from exploitation by employers, but greater power means that they can turn the tables and exploit
Even if they fail to elect “their” candidates, public-sector unions have a relatively easy time negotiating with politicians. Private-sector bosses are accustomed to playing hardball with unions because they know they can go bankrupt if they don’t. Politicians have no such discipline: they can always raise taxes or borrow from future generations. Those who have challenged the unions have often regretted it.
Do the public exist to serve public-sector workers with their high pay and inflated benefits, they ask, or do public-sector workers exist to serve the public?
26 January 2011
Rent seeking unions harm society
From the Economist:
employers us. Read the story if you want to see why American schools are so bad.