Background on Union Relevance and Impact
The Organisation for Economic Co-operation and Development (OECD) has reported a persistent decline in union membership across all member countries. In 1985, unions represented 30% of the working population; however, this figure dropped to 29% by 2005 and has now plummeted to just 15%.
Variations Across Countries
The OECD’s report, “Union Affiliation and Employer Organization Coverage, and Collective Bargaining Coverage: Holding Steady but Losing Ground,” highlights significant disparities in unionization rates among member countries. For instance, only 4.7% of workers are unionized in Colombia, while Estonia and Hungary have rates of 5.6% and 7.4%, respectively. In contrast, Suecia and Denmark boast unionization rates exceeding 60%, and Islandia has an impressive 90%.
Gender and Sectorial Differences
The report also notes that unionization rates are nearly identical between men (14.9%) and women (14.2%). However, union presence in the public sector (41.3%) is considerably higher than in the private sector (10.1%).
Collective Bargaining Coverage
The OECD emphasizes that the proportion of employees covered by collective agreements has significantly decreased over the past 30 years. This metric is crucial for comparing the relative strength of collective bargaining across countries, as it reflects the extent to which workers’ conditions are genuinely influenced by collective negotiations.
On average, collective bargaining coverage in OECD countries has dwindled nearly one-third, from 47% in 1985 to 33.5% in the 2023/24 period.
Mexico’s Recent Union Growth
INDERLAB reported that, as of July this year, Mexico has witnessed a surge in the number of workers joining union organizations following the 2019 labor reform. This development led to nearly a million people becoming union members.
According to data from the Labor Reform Indicators and Statistics platform maintained by Mexico’s Secretariat of Labor and Social Prevision, in 2024, out of 22.8 million salaried workers, approximately 5.1 million were part of a union.
Key Questions and Answers
- What is the current union membership rate in OECD countries? Union membership now stands at 15% in OECD countries.
- How do unionization rates vary among member countries? Unionization rates range from 4.7% in Colombia to over 90% in Islandia, with an average of 15% across OECD countries.
- Are there gender or sectorial differences in union membership? Unionization rates are nearly identical between men (14.9%) and women (14.2%). However, the public sector has a significantly higher union presence (41.3%) compared to the private sector (10.1%).
- What is the current state of collective bargaining coverage in OECD countries? Collective bargaining coverage has decreased nearly one-third, from 47% in 1985 to 33.5% in the 2023/24 period.
- What recent developments have occurred in Mexico’s union landscape? Following the 2019 labor reform, Mexico has seen a significant increase in union membership, with nearly a million workers joining union organizations.
