According to NathanNewman Trade Unions strengthen the economy : http://www.nathannewman.org/log/archives/001143.shtml

The commonest metaphor for how unions strengthen the economy is that they force employers on to the "high road" of production– concentrating on innovation rather than sweating workers, promoting skilled work versus unskilled low-wage labor, and encouraging investment in long-term productivity rather than short-term profits.

Unfortunately this strikes me as a bit too close to what I criticse in the OffShoring debate and BlairiteEducationPolicy : that trying to go up-market, and simply raise education levels is going to fail, InnovatorsDilemma style.

But this is speculation. Need to see some evidence.

Maybe like this : (The http://www.fightforthefuture.org/blog/index.cfm?bge_id=79 (The CostCo way : http://www.businessweek.com/magazine/content/0415/b3878084mz021.htm))

See also :