Thursday, May 10, 2007

Unions for a Global Economy


The business press has barely noticed and the usual champions of globalization have been mute, but an announcement last week in Ottawa signaled a radical new direction for the globalized economy. The United Steelworkers -- that venerable, Depression-era creation of John L. Lewis and New Deal labor policy -- entered into merger negotiations with two of Britain's largest unions (which are merging with each other next month) to create not only the first transatlantic but the first genuinely multinational trade union.

Mergers among unions are nothing new, of course, and as manufacturing employment in the United States has declined, some unions -- the Steelworkers in particular -- have expanded into other industries and sectors. Today, just 130,000 of the union's 850,000 members are employed in basic steel, with the remainder in paper and rubber manufacturing and a range of service industries. British unions have gone down a similar path; of the two British unions with which the Steelworkers wish to merge, Amicus is a multi-sectoral outgrowth of that nation's autoworkers, while the other, the Transport and General Workers, has long been what its name suggests.

See full Article.