Pattern bargaining-an age-old tradition of largely indistinguishable union contracts in an industry-is under pressure in the auto, tire and rubber, and agriculture and industrial-equipment industries. However, pattern bargaining is still alive and well in the utilities, aerospace, defense, and oil refinery industries.
a. Why is pattern bargaining so important for labor unions? What do they hope to accomplish with it?
b. What industry characteristics account for the difference in the success of pattern bargaining across industries?