The Effect of Trade Unions on Organizational Productivity in the Cement Manufacturing Industry in Nairobi

Abstract

The study has attempted to establish the effect of trade unions on organizational productivity in cement manufacturing companies in Nairobi. This interest was stirred by the deficiency of literature on the relationship between the activities of trade unions and their impact on employees' productivity. The researcher, thus mapped out the structure of the study to address a number of objectives: establishing the various activities of trade unions in cement manufacturing industry within Nairobi; establishing the challenges of trade union activities in cement manufacturing industry; and determining the effect of trade unions on organizational productivity in cement manufacturing industry in Nairobi. Research questions were used to guide the researcher in her endeavor to achieve these objectives. A review of the existing literature has revealed that trade unions have many activities that they exercise on behalf of their members. For instance, they bargain for wages and good working condition terms; lead strikes if negotiations fail; represent workers in disciplinary case hearings; among other activities. Similarly, the literature contains the benefits of trade unions to members. These include: better remuneration negotiation; protection from exploitation by employer; access to educational facilities; among others. Using a sample of three unionized cement companies, the study choose questionnaire as the suitable research instrument to be filled out by three respondents, each from one company. The results obtained indicated that trade unions play an important role in the work-life of their members. The activities discharged such as collective bargaining, striking actions, employee representation, embolden workers and eventually make them confident and productive thus spurring organizational productivity. Accordingly, there were recommendations to the effect of allowing workers to form trade. Finally, the study identifies a need for a comparative study on unionized and non-unionized workers in the fast moving consumer goods sector to be further pursued to establish whether similar results can be obtained.