DECA Human Resources Management Practice Exam

What is the significance of having a labor union in a workplace?

1. To reduce employee turnover

2. To negotiate better terms for workers

3. To enhance employee friendships

4. To create more job positions

The correct answer is: To negotiate better terms for workers

Having a labor union in a workplace is significant mainly because it serves as a collective voice for employees to negotiate better terms for workers. Through collective bargaining, unions work to secure improved wages, benefits, working conditions, and job security for their members. This process allows workers to present their demands as a unified group, which often holds more weight than individual requests, leading to more favorable outcomes for employees. Additionally, labor unions advocate for workers' rights and protections, addressing issues such as unfair labor practices, workplace safety, and discriminatory practices. This advocacy not only helps current employees but can also set standards in industries that benefit future workers. The other choices, while they may have some relevance to the overall employee experience, do not capture the primary role and significance of unions in the workplace. Reducing turnover, enhancing friendships, and creating job positions are outcomes that can be positively influenced by union activities, but they are not the fundamental purpose of a labor union. The core function remains in negotiating and representing the workforce in discussions with employers to ensure fair treatment and beneficial working conditions.