The right-to-work law in Wisconsin prohibits labor organizations and employers from mandating union membership and forcing dues to be deducted from workers' salaries and wages. As the law states, employees at a unionized workplace can opt out of the union at any time and stop contributing union dues.
The right-to-work law is a poorly thought-out idea for Wisconsin's economy; proponents of the law based their arguments on manipulated facts to mislead the state legislature.
The Wisconsin Policy Research Institute (WPRI) published a report showing the positive impacts of a right-to-work law on Wisconsin just a few days before the state passed the law. The report asserts that Wisconsin could increase the per-capita income by 6% after adopting the law.
This information can be misleading because many factors determine a state's per capita income, including workers' education levels, development of the manufacturing sector, and infrastructural development. Singling out a right-to-work law as a critical determinant of income growth is a mediocre approach to policy-making.
The WPRI report also argues that labor unions drive an increase in wage rates, making Wisconsin unattractive to investors, but there isn't much scientific evidence to support this assertion.
In the contemporary economy that is driven by technological advancement, few investors are bothered by wage rates. New businesses need a highly productive and skilled workforce, which can speed up business growth. Before investing, potential investors may consider local taxes, the education system, research-development universities, market size, and infrastructural development. A right-to-work law is not an attractive factor.
It is misleading for proponents of the right-to-work law to use an average comparison of Wisconsin's economic growth with other states that have adopted the law. For instance, the WPRI report does not disclose all the underlying factors that spur economic growth in those states. Instead, the study used only eight variables, which are statistically and scientifically insufficient to predict economic growth.
The WPRI regression model does not address workforce training and technology adoption issues. And thus, any law founded on such meaningless conclusions is unnecessary and harmful to the economy.
Adopting the right-to-work law is to the detriment of labor unions that play a crucial role in bargaining contracts and fighting for workers' rights. The law permits workers to leave unions at will, and the unions could ultimately lack funds to run themselves. The worker can still enjoy the bargaining power of the union they refuse to fund.
The law is profoundly biased towards undermining existing labor unions and consequently weakens workers' collective power and voice. Strong unions are essential to fostering wage increases and reducing workplace inequality.
In conclusion, Wisconsin should get rid of its right-to-work legislation. The state needs strong labor unions that champion workers' welfare. The state should also focus on boosting the education sector, infrastructural development, and a favorable tax environment to enhance economic growth.
