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Related Papers. Sizable differences exist in union wage premiums across demographic groups, with blacks and Hispanics having union premiums of Hispanic and black men tend to reap the greatest wage advantage from unionism, though minority women have substantially higher union premiums than their white counterparts.

Unionized Asians have a wage premium somewhat higher than that of whites. Unionized immigrant male workers obtain a premium comparable to that of male workers overall, whether they have immigrated relatively recently within 10 years or further back in time. Women who have immigrated recently have a higher union premium than women overall, Adjusted difference is used to calculate premium.

The difference between the union and nonunion compensation packages is presented in two ways, unadjusted simply the difference between the first two columns and adjusted for differences in characteristics other than union status, such as industry, occupation, and establishment size.

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Unionized workers are Similarly, When this difference is adjusted for characteristics other than union status, union workers are Union employers spend As defined-benefit plans are preferable, since they provide workers with more financial security, these data indicate that union workers are more likely to have the better form of pension plans. Union workers also get more paid time off. Including both vacations and holidays, union workers enjoy Data are based on a survey of firms, whereas Table 2 used a survey of workers.

For instance, unionized employers pay This analysis also shows that unionized employers pay Similarly, unionized employers have The focus, in particular, is on the role of deunionization on the widening wage differentials between blue-collar and white-collar occupations and between high school and college graduates.


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This decline obviously weakened the effect of unions on the wages of high school—educated workers. Unions had a 0. The decline in union representation and the lower union wage premium from to , however, reduced the union wage effect for male high school—educated workers to just 2.

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The lessened ability of unions to narrow this wage gap represented by the drop from a 7. This is equal to Source: Mishel and Walters , Table 2. Union coverage by fifth from Schmitt The weakening of unionism had an even larger effect on blue-collar workers and on the wage gap between blue-collar and white-collar workers. The This lessened effect of unionism can account for Unions reduce wage inequalities because they raise wages more at the bottom and in the middle of the wage scale than at the top.

Lower-wage, middle-wage, blue-collar, and high school—educated workers are also more likely than high-wage, white-collar, and college-educated workers to be represented by unions.


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The larger union wage premium for those with low wages, in lower-paid occupations, and with less education is shown in Table 5. For instance, the union wage premium for blue-collar workers in , Likewise, the union wage premium for high school graduates, Table 5 presents a comprehensive picture of the impact of unions on wage inequality by drawing on the estimated union wage premiums for the different fifths of the wage distribution.

The table presents the results of three different studies, and each demonstrates that the union premium is higher among lower-wage workers than among the highest-wage workers. This is illustrated in the last row, which shows the premium of the bottom two-fifths of earners as a percent of the premium of the top two-fifths; the results range from percent to percent. These numbers illustrate that unions generate a less unequal distribution of wages in the unionized sector by raising the wages of low- and middle-wage workers more than those of higher-wage workers.