ON 7/25/11 WE RAN THE FOLLOWING COMMENTARY ON THE POST OFFICE AS ANOTHER EXAMPLE OF UNION LABORS UNWILLINGNESS TO ADJUST TO COMPETITIVE FORCES. THE PERFECT STORM...WATCH IT UNFOLD.
It may seem like an unimportant event, but the US Post Office, which is a unionized workforce, for all intents and purposes is in bankruptcy. This is another example of the effect of significantly inelastic unions making the Post Office join the long list of failed unionized industries. The general rule is in order for unionized workforces to grow and prosper, wages and benefits must be elastic to competitive forces.
It may seem like an unimportant event, but the US Post Office, which is a unionized workforce, for all intents and purposes is in bankruptcy. This is another example of the effect of significantly inelastic unions making the Post Office join the long list of failed unionized industries. The general rule is in order for unionized workforces to grow and prosper, wages and benefits must be elastic to competitive forces.
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