Eliminate Wage Ceilings for Unionized Workers

Eliminate Wage Ceilings for Unionized Workers

From Liberate to Stimulate: A Bipartisan Agenda to Restore Limited Government and Revive America's Economy
January 19, 2011

Liberate to Stimulate Index

Workers need incentives to perform to their utmost capability. Working hard and performing your job well is usually rewarded with greater compensation. Unfortunately, this is not the case at many unionized workplaces, where collective bargaining agreements impose a wage ceiling, in addition to a wage floor. The vast majority of these agreements grant pay increases based on seniority rather than merit.