Factors That Have Contributed to the Decline of Union Membership

question 52

Multiple Choice

Factors that have contributed to the decline of union membership include all of the following except:

• A) The move of manufacturing companies to less unionized states.
• B) The narrowing of the union and nonunion wage gap.
• C) Increase in nonunion electronics production facilities.
• D) Intimidation by managers.

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Definitions:

Prior Service Cost

The cost associated with retroactive benefits granted in a pension plan amendment, recognized over the service lives of affected employees.

Plan Assets

Assets that are specifically earmarked to pay pension benefits, typically held in a pension fund.

Pension Expense

An accounting charge representing the cost to a company of providing retirement benefits to employees during a particular time period.

Projected Benefit Obligation

An actuarial measure of the present value of pension benefits owed to employees, accounting for projected salary increases.