Union Membership Rate Drops to Historic Low
February 1, 2005
by Employment & Labor Law / Employee Benefits Group
Stinson Morrison Hecker LLP
Copyright © 2005
The percentage of workers in the private-sector who were union members dropped to 7.9 percent in 2004, a new historic low, and "about half what it had been in 1983," according to a January 27, 2005 report by the U.S. Department of Labor.
Union Members – The number of persons belonging to a union fell by over 300,000 in 2004, to less than 15.5 million. Overall, 12.5 percent of all workers (public and private sector) were union members in 2004, down from 12.9 percent a year earlier. "The union membership rate has steadily declined from a high of 20.1 percent in 1983, the first year for which comparable union data are available."
Public Sector vs. Private Sector – "In 2004, workers in the public sector had a union membership rate more than four times that of private-sector employees. At 36.4 percent, the unionization rate for government workers was down slightly from 37.2 percent a year earlier."
Men vs. Women – "In 2004, the union membership rate was higher for men (13.8 percent) than for women (11.1 percent)."
Race of Union Members – "Blacks were more likely to be union members (15.1 percent) than were whites (12.2 percent), Asians (11.4 percent), or Hispanics or Latinos (10.1 percent)."
Age of Union Members – Among age groups, union membership rates were highest among workers 45 to 54 years old (17 percent) and 55 to 64 years old (16.8 percent), and were lowest among younger workers 16 to 24 years old (4.7 percent) and 25 to 34 years old (10.6 percent).
Full-Time vs. Part-Time – Full-time workers (13.9 percent) continued to be more than twice as likely as part-time workers (6.4 percent) to be union members.
Industries – "Among major private industries, transportation and utilities had the highest union membership rate, at 24.9 percent. Construction (14.7 percent), information industries (14.2 percent), and manufacturing (12.9 percent) also had higher-than-average rates. Within the information industry, telecommunications had a 22.4 percent union membership rate. Financial activities had the lowest unionization rate in 2004 – 2.0 percent."
States – About half (7.8 million) of the 15.5 million union members in the U.S. live in just six states (California, New York, Michigan, Illinois, Pennsylvania, and Ohio), although these states accounted for just over one-third of wage and salary employment nationally.
Missouri, Kansas, Nebraska and Arizona – The percentage of workers represented by a union declined in 2004 in Missouri (from 13.2 percent to 12.4 percent), but increased slightly in Kansas (from 7.9 percent to 8.4 percent), Nebraska (from 7.9 percent to 8.3 percent) and Arizona (from 5.2 percent to 6.3 percent).
Nonmembers – About 1.6 million workers were represented by a union in their main job in 2004, while not being union members themselves. About half were employed in the private-sector.
Bottom Line - It promises to be a tumultuous year for organized labor, as the AFL-CIO begins a spirited internal debate over the future structure and direction of the labor federation. A number of unions agree that major changes are needed, but have offered sharply different recommendations and proposals. In addition, the AFL-CIO has solicited and posted opinions and ideas from its members. The AFL-CIO is expected to consider recommendations at its Executive Meeting in March, with final proposals to be voted on by the AFL-CIO convention in late July 2005.
Stinson Morrison Hecker LLP is one of the country's largest law firms with more than 335 attorneys in more than 45-industry-focused areas. If you would like more information regarding this summary, please contact one of our Employment & Labor Law and Employee Benefits attorneys.
Law at Work is designed to give general information and is not intended to be a comprehensive summary or to treat exhaustively the subjects and matters covered. The information appearing herein does not constitute legal advice or opinions. Such advice and opinions are provided only upon engagement with respect to specific factual situations. Nothing contained herein shall be considered as an admission in any matter or controversy.
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