Union membership has a direct impact on income inequality in Oregon, according to a new report by the Oregon Center for Public Policy (OCPP).
According to the report, as unionization in Oregon declined by more than half between 1979 and 2013—going from about 33 percent to 15 percent (and just 9 percent in the private sector, which employs over 80 percent of Oregon workers)—the hourly wage of the median Oregon worker declined from $17.79 to $17.02 when adjusted for inflation. The lowest paid workers (those at the 10th percentile) experienced a drop in hourly wages from $9.48 to $9.18.
Meanwhile, in 2013, the wealthiest 1 percent of Oregonians made $770,000 on average (from work as well as unearned income, such as profits from investments), more than double their inflation-adjusted income in 1979.
“By bargaining together for better pay, workers can reduce inequality and create an economy that works for everyone,” the report said. “Increased unionization would ease inequality and help low- and middle income Oregonians prosper.”
