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Benefits

Labor union members generally receive higher wages—roughly 11% to 30% more than nonunion counterparts—along with better benefits, including, significantly, 92%-96% employer-provided health insurance coverage, guaranteed pensions, and stronger job security. Members benefit from collective bargaining for safer conditions, paid leave, and protection against unjust termination. 


Unionization is associated with lower employee turnover, improved workplace communication, and narrowing racial and gender wage gaps. Furthermore, unionized, higher-standard workplaces can influence better, non-union wages and conditions in surrounding industries. 


A new Economic Policy Institute report documents the strong correlation between higher levels of unionization and a range of economic, personal, and democratic well-being measures. In the same way unions give workers a voice at work, with a direct impact on wages and working conditions, the data suggest that unions also give workers a voice in shaping their communities. Where workers have this power, states have more equitable economic, social, and democratic structures. 

Unionization varies widely by state—ranging from 3.0% in South Carolina to 25.5% in Hawaii. The report finds a range of benefits in the 17 states with the highest union density, including:

  

  • Higher incomes. 2023 median household income was on average more than $12,000 higher in high-union-density states than in low-union-density states (the 17 states with the lowest union density).


  • Greater access to unemployment insurance and health insurance. Unemployed workers are twice as likely to receive unemployment benefits in high-union-density states than low-union-density states. The share of people without any form of health insurance was 5.7% in states with higher union densities compared with 9% in states with lower union densities.


  • More spending on education. States with higher rates of unionization spend $22,777 per pupil on education compared with $15,568 per pupil in low-union-density states.


  • Greater access to paid sick leave. 70.6% of states with the highest union density have enacted paid sick leave legislation, compared with just 11.8% of low-union-density states.


  • Fewer voting restriction laws. Since 2021, low-union-density states have passed 44 voter restriction laws, whereas high-union-density states passed six such laws.


However, union density levels across the country are not nearly as high as they could and should be. While nearly half of all nonunion workers say they want a union in their workplace, just 11.1% of all workers are covered by a union contract. Current law places too many obstacles in the way of workers trying to organize and gives employers too much power to interfere with workers’ free choice. It is therefore critical that policymakers enact legislation that restores a meaningful right to organize and collectively bargain, such as the Protecting the Right to Organize and the Public Service Freedom to Negotiate Acts.

  

Unions don’t just improve workers’ paychecks—they shape the social and political fabric of the communities they operate in and lift standards for both union and nonunion workers. Policymakers must enact reforms that restore a meaningful right to organize and collectively bargain. Rebuilding worker power is not just good policy—it is a democratic imperative in the face of authoritarian backsliding,” said Heidi Shierholz, EPI president.

Union Contributions to the Middle Class

Many people don't know about the many contributions unions have made to the working and middle classes that we all take for granted. Noteworthy examples are shorter working hours from 12 or 16-hour days, 6 days a week a century ago, to our current norm of 8 hours per day and 5 days a week, for a 40-hour workweek. 


Let's not forget overtime, holiday, better pay, and Labor Day were all championed by unions. Plus, ongoing increases to the minimum wage as well as sick pay and maternity leave were championed by unions. And finally, where would we be with our pension and health benefits, equal pay for women, and safer working conditions if it were not for unions? So the next time you're reminded of these things--thank a union!

For more info about these topics, CHECK OUT VIDEOS AND REPOR

How Labor Unions Influence the U.S. Economy? A Balanced Analysis. Business School 101:

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Why Do Workers Join Unions? - Benefits & Reasons. Study.com

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New report details the benefits of unions to workers, communities, and democracy. Economic Policy Institute

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