Collective Bargaining Power and Income Distribution

Collective bargaining power refers to the ability of a group, like workers in a union, to negotiate better wages and working conditions with employers. When workers unite, they can present a stronger voice, leading to more favorable agreements. Income distribution relates to how income is shared among the population, which can be unequal. Strong collective bargaining can improve income distribution by securing higher wages and benefits for workers, thus reducing income inequality. In essence, when workers act together, they are more likely to achieve fairer compensation, benefiting not only themselves but also contributing to a more equitable society.