Posts tagged Labor Markets
Labor’s Hidden Monopoly: Why the FTC Should Probe Union Power Too
April 1, 2025 // However, the modern economy calls for a fresh assessment of how we balance worker representation with the benefits of competition. Just as the FTC scrutinizes corporate mergers that could harm consumer welfare, it should consider the anticompetitive effects when a single union controls a significant share of an industry's workforce. Indeed, the FTC’s Bureau of Economics and Office of Policy Planning are both positioned to play a key role in researching labor markets to identify barriers to competition—including those created by government laws and regulations. By studying these dynamics, the FTC can publish research and spotlight how certain government-imposed rules or union protections may inadvertently stifle competition and harm workers.
FTC Moves to Allow Independent Contractors to Collectively Bargain
January 14, 2025 // The Clayton Act’s labor exemption provides protections for workers seeking to organize and clarifies that such activity does not violate federal antitrust law, which prohibits anticompetitive business practices. Importantly, this exemption only applies to traditional employees. Independent contractors, on the other hand, cannot engage in collective bargaining, as it is currently viewed as a means of colluding over prices. A policy statement allowing independent contractors to collectively bargain with no fear of liability would be a significant change to federal antitrust law.