DECA Human Resources Management Practice Exam

How does a labor union benefit individual workers in an organization?

1. By promoting individual contracts

2. By reducing job responsibilities

3. By giving them negotiating power collectively

4. By limiting management decisions

The correct answer is: By giving them negotiating power collectively

A labor union benefits individual workers in an organization primarily by providing them with collective negotiating power. This strength in numbers allows workers to unite and negotiate for better wages, benefits, working conditions, and job security, which they might struggle to achieve on their own as individuals. When workers join together in a union, they create a more powerful voice to advocate for their interests, resulting in more favorable outcomes during contract negotiations with management. The other options do not accurately capture the primary function and advantage of labor unions. For instance, promoting individual contracts does not represent the collective interest that unions strive for, as unions typically advocate for standardized agreements that apply to all members. Reducing job responsibilities is not a direct benefit of union membership, as unions focus more on advocacy for pay and working conditions rather than altering the nature of job responsibilities. Lastly, while unions can influence management decisions, they do not limit them outright; instead, they engage in negotiations to ensure that management considers worker rights and welfare in their decision-making processes. Thus, the most accurate benefit of a labor union for individual workers is the collective power it provides in negotiations.