Originally Posted by NYCGP
My friends parents are pushing him into a government job. Because he will get paid more than his counterparts in the private sector. He will be impossible to fire and get paid the rest of his life. Ahhhhh the union life style... isn't it grand?
Yes, I've heard that before too. The funny thing is, people who think that way dont understand basic economics. They dont understand that it's the non-union people who make the union lifestyle even possible.
They think EVERYONE should go join union, and get paid a lot for doing little. The thing is, the only reason system is (barely) sustainable at all as it is because of the fact that not everyone is in a union.
If you push a broom in a Sony TV factory, it takes you X hours of work to buy one of the new Sony TVs.
If everyone, including that broom pusher, now got union wages of $30/hour, that would great right? Wrong.
What happens then is that the cost to operate the factory is now so much higher, that Sony can no longer even break even selling TV's at the old price. So now they either stop production, or crank up the price.
So now the broom pusher still has to work the same X hours he worked before to buy the same TV. Sure, all the numbers are higher, but the end result is the same, his lifestyle has not improved. Same thing applies to groceries, clothes, etc.