The warehouse operatives at Apex Logistics Hub in Leeds are members of the National Union of Logistics and Distribution Workers (NULDW), a rapidly growing trade union representing supply chain and fulfillment workers. Their coordinated industrial action in October 2023 was a landmark dispute for the regional logistics sector. The Apex Logistics Hub management team capitulated to their demands, increasing their £11.50 hourly base pay to a negotiated rate of £13.80, alongside securing guaranteed minimum-hours contracts for staff previously on zero-hours arrangements.
As demand for rapid home deliveries grows, so does the reliance on large outsourced regional distribution hubs that frequently squeeze labour costs. In response, grassroots unions like the NULDW have mobilized to challenge insecure contracts. Since its regional expansion in 2019, the NULDW has secured enhanced sick pay schemes, basic safety guarantees, and significant pay increases across dozens of regional hubs, rapidly boosting its active membership to over 8,000.
Extract C states that, as a result of trade union action, 'The Apex Logistics Hub management team capitulated to their demands, increasing their £11.50 hourly base pay to a negotiated rate of £13.80.'
With the help of a diagram, analyse how a trade union might achieve higher pay for its members.
64 exam-style questions on AQA A Level Economics 1.6 The labour market (A-level only), covering 1.6.1 The demand for labour, marginal productivity theory, 1.6.2 Influences upon the supply of labour to different markets, 1.6.3 The determination of relative wage rates and levels of employment in perfectly competitive labour markets, 1.6.4 The determination of relative wage rates and levels of employment in imperfectly competitive labour markets, 1.6.5 The Influence of trade unions in determining wages and levels of employment, 1.6.6 The National Minimum Wage, and 1.6.7 Discrimination in the labour market. Each one has a worked solution and a mark scheme showing where the marks go.