Union Amalgamations and the Decline in Union Density

Abstract

Confronted by a marked decline in trade union density, the union movement in Australia bas responded by promoting the restructuring and amolgamation of trade unions. As a result, the number of active trade unions in Australia has fallen markedly since 1990. Despite tbis, the decline in trade union density accelerated during the 1990s, leading some analysts to suggest that the union amalgamation process may actually have been counterproductive in terms of overall trade union membership. This article tests this hypothesis using panel data collected as part of the Australian Workplace Industrial Relations Survey. A regression model of changes in union density in the period 1989/90 to 1995 is developed and estimated. The results indicate that while declining union numbers have been associated with the decline in union density, none of the blame for the fall can be traced to the amalgamation process.