Iwilsonfinalpaper

Ida Wilson

Final Paper

Instructor: Melanie Morris

U.S. Strikes, Why is there such a decline?

“Strike action, often simply called a strike, is a work stoppage caused by the mass refusal of employees to perform work. A strike usually takes place in response to employee grievances. Strikes became important during the industrial revolution, when mass labor became important in factories and mines. In most countries, they were quickly made illegal, as factory owners had far more political power than workers. Most western countries partially legalized striking in the late 19th or early 20th centuries. Strikes are sometimes used to put pressure on governments to change policies. So if going on strike was to help employees with any grievances they had on the job then why is there such a decline today?” (Wikipedia)

There are several reasons for the decline in strikes. Before the 1980s, research often found that strikes were pro-cyclical: strike activity tracked the business cycle (more strikes during boom, fewer during recessions). But strike activity declined consistently through the 1980s and 1990s irrespective of the business cycle. Another explanation, therefore, is that information issues have improved, for example, through the decline in inflation uncertainty. Lastly, there is a possible sociopolitical explanation: it is frequently argued that the steep decline in U.S. strike activity results from an increased acceptability of using strike replacements that started in the 1980s. And thus, workers stopped striking so as not to lose their jobs. (Budd, 2008)

Some say that strike activity has declined since 1980 because labor’s bargaining power has declined. Bargaining power depends on the strength of the strike threat. If labor’s bargaining power is high because employers face greater strike losses, employers should be more likely to give in to labor’s demands before a strike occurs. (Budd, 2008)

One big reason for a decline in strikes is the cost...