Compensation and Benefits Costs in Union and Nonunion Settings

Comparison of Compensation and Benefits Costs in Union and Nonunion Settings The management of nonunion companies strives to maintain nonunion status to keep employment costs low and to maintain tighter control over the terms of employment. It is against he law for companies to interfere with workers’ attempts to unionize; however, companies that want to remain nonunion can adjust employment terms proactively to minimize workers’ nterest in unionizing. As we discussed in this chapter text, companies may choose to offer higher compensation than they would otherwise in the absence of a union threat. The ollowing table shows hourly compensation costs for union and nonunion settings. Benefit costs Total Wages and Total Paid leave Supplemental Insurance Retirement Legally compensation salaries pay and savings required benefits Cost per hour worked Union 51.48 29.66 21.82 2.67 1.92 7.24 5.62 4.37 Nonunion 38.99 26.74 12.25 2.64 1.46 3.16 1.75 3.24 he percent of total compensation spend for union settings to provide Round your answers to the nearest tenth place.)