Leaders Need to Factor Popularity of Labor Unions in Strategic Planning

Leadership is always walking a tightrope of customer satisfaction, employee engagement, productivity, and profitability. This year leaders should consider the impact of labor unions.

Over the past couple of years, talk about labor unions has been on the rise. Now that we are firmly entrenched in Q4 and leaders are completing planning efforts, labor unions should be part of the strategic business planning conversation.

Talk of Labor Unions is on the Rise

Union growth/membership has been in decline for decades, according to the U.S. Bureau of Labor Statistics. In 2021 11% of people polled belonged to a union, down from 20% in 1983 to nearly 30% in the 1940s. During Covid, however, there was a brief uptick, and the BLS saw an increased number of employees filing for petitions to organize. In April of 2022, for example, warehouse employees in Staten Island became the first unionized Amazon workers. Since then, other groups have tried to organize.

The rising interest in and talk about unions is a trend leaders need to consider during the 4th quarter strategic plan review. How would your organization’s leadership react to unionization, and what would it mean for company culture and customer satisfaction? A recent Gallup survey found, “48% of America’s working population is actively job-searching or watching for opportunities.” Astute leaders know discontent usually brings about change (at some point).

Pay Attention Even if Your Workforce Isn’t Likely to Unionize

It’s not just employee dissatisfaction that can bolster union groups. Unions may also experience an uptick in growth over the next few years due to increased positive opinions toward them. The first union sentiment survey was conducted in 1936. In the initial poll, 72% of Americans said they approved of them. Today, 68% approve, not much different from that first survey over 80 years ago. Approval of unions has ebbed and flowed over those 80 years, but currently, the number isn’t far off from the all-time high of 75% in 1953 and 1957.

In 2018, a paper on worker voice,” found that almost half of non-union workers in 2017 said they would like the chance to join a union. That number was an increase from one-third of non-union workers in 1970. A worker advocate group recently reported that 70% of skilled and hourly workers in the U.S. that aren’t in a union would consider joining if given the opportunity. That’s a significant increase in a few years and may have something to do with growing distrust and burnout resulting from the Pandemic.

The increased favorability of unions points to a problem with employee engagement and trust in leadership. Amazon’s workers, for example, are speaking out about low pay and safety concerns as a motivation to unionize. Employees who don’t feel heard will look for other avenues to send a message to leadership. Union membership provides ripe opportunities for a louder voice for those who want to stay. For those who don’t, it likely means looking for another job.

If company culture isn’t a major objective in your strategic plan, and you’re struggling to gain employee trust, employees are apt to look for solutions. Liddell Consulting Group’s strategic business planning can help your company attain peak performance. We work with you to construct high-level initiatives that define steps toward achieving your goals. Contact us today.