A woman holds a “Union” sign as members of the Writers Guild of America and the Screen Actors Guild walk a picket line outside Paramount Studios in Los Angeles, July 14, 2023.
Chris Delmas | AFP | Getty Images
WASHINGTON — Unions boost pay by 10% to 15% for members and improve benefits, boosting the middle class and the economy, said a US Department of the Treasury report released Monday.
“Union workers strengthen our middle class and our entire economy,” Vice President Kamala Harris said Monday in a call outlining the administration’s efforts to support unions.
“President Biden and I are building an economy where every person, not just the rich, (is) well connected, has the opportunity to thrive,” he added.
The report, issued by the Treasury’s Office of Economic Policy, also showed that unionization reduces wage gaps by race and gender and improves benefits and procedures such as retirement plans, grievance policies and firm that work schedule.
This year has seen several high-profile labor organizations push for better pay and working conditions as inflation batters the middle class.
Since the Federal Reserve began raising interest rates to fight inflation in March 2022, the middle class has lost more than $2 trillion in wealth, according to Bloomberg, citing data from the University of California, Berkeley.
UPS workers agreed to a landmark collective bargaining deal this month and the Writers Guild of America strike has passed 100 days. The United Auto Workers and its nearly 150,000 workers face a Sept. 14 deadline for contract rejections. A strike from the UAW would be a major blow to America’s auto makers.
“In this summer of labor strikes and organizing, we see unprecedented public support for unions as a critical path to grow the middle class and provide opportunities for working to thrive,” Liz Shuler, president of the AFL-CIO, told CNBC.