Will Wilkinson

Public Sector Unions vs Private Sector Unions

Big Think

Will Wilkinson discusses the differences between private sector unions (good) and public sector unions (bad) in the wake of the Wisconsin recall elections:

I’ve argued elsewhere that public- and private-sector unions are quite different beasts and that public-sector unions cannot be justified on liberal-democratic grounds while private-sector unions are not only unobjectionable, but desirable. I’ve argued that it’s not only possible but reasonable to support private-sector unions as a safeguard against economic exploitation and oppose public-sector unions as an instrument of political exploitation, but I don’t think I’ve said enough about why private-sector unions are a good idea.

Competition essentially keeps private sector unions relevant and reduces the worst excesses of unions:

Competitive globalized markets for labor and capital make the worst excesses of unions infeasible. That outsourcing and capital flight would prevent a reinvigorated American private-sector labor movement from becoming as a powerful force for a more social-democratic politics is a fact progressives have a hard time accepting, but for me that fact is more feature than bug.

…It’s pretty clear that global market forces function worldwide to keep unions’ worst anti-competitive instincts in check.