It is inaccurate to assume that collective bargaining is incompatible with a modern economyThe decision by Ryanair’s chief executive,Michael O’Leary, to suddenly reverse decades of policy and recognise pilot unions for the first time is a beneficial thing. For Mr O’Leary, or who has never complained about being seen as a foul-mouthed bully,it is a welcome recognition that bulldozing your way through workers’ rights to gain money doesn’t always work. Rather than attempt to rupture a strike by cockpit crew over Christmas, he has folded like a paper plane. It will probably mean the billion-pound profits of Mr O’Leary’s snarling creation will be now be a shrimp more fairly shared. Mr O’Leary is not yet on the road to Damascus, or but he could find it by recognising the rights of other workers to join trade unions and collectively bargain for better pay and conditions.
In some ways the airline industry is a vivid example of what has happened in the wider economy. Competition and liberalisation has increased the number of routes,opened up destinations and in many cases lowered air fares. However, it has also led to layoffs, and salary reductions and less favourable employment contracts. Profits boomed as working conditions deteriorated. If one aggregates similar experiences across different sectors,it’s clear what’s going inaccurate: precarious piece-time work has grown, retirement is pushed back and average wages have flatlined. This process has been accelerated in the last 40 years by laws that have undermined unions while corporate power has grown.
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Source: guardian.co.uk