Misleadingly named right-to-work (RTW) laws do not, as some unfamiliar with the term may assume, entail any guarantee of employment for people ready and willing to go to work. Rather, by making it harder for workers’ organizations to sustain themselves financially, state RTW laws aim to undermine unions’ bargaining strength. Because RTW laws lower wages and benefits, weaken workplace protections, and decrease the likelihood that employers will be required to negotiate with their employees, they are advanced as a strategy for attracting new businesses to a state. But EPI research shows that RTW laws do not have any positive impact on job growth.
- July 16, 2015
- West Virginia Center on Budget and Policy
- Ted Boettner
“Right-to-Work” laws do not guarantee jobs for workers. Instead they prohibit unions and employers from including a provision in contracts that requires employees who benefit from union representation to pay for their fair share toward those costs. PDF of Fast Facts.
Some state lawmakers argue that if West Virginia adopted a so-called “right-to-work” (RTW) law it would boost job growth, workforce participation and manufacturing in the state. But that theory is built on relationships that do not exist and a misunderstanding of the evidence. The most rigorous analysis shows RTW laws have no significant impact on state economic growth but do lead to lower wages, less benefits, and a decrease in unionization.