Premium Effect On The Wages Of Migrant Workers Union

As a large population of China, migrant workers are a special group of people. Their interests are vulnerable to the employers due to the imperfect policy and their low education level. The problem of migrant workers’wage is not only concerned to whether the workers’ material life can be fulfilled, but also help to narrow the income gap between the rich and the poor, which can affect the social stability. At the same time, such a large group of people have a strong purchasing power, which has a positive effect on the domestic demand and economic restructuring.Trade unions represent the workers welfare. Nowadays, the trade union is a special social organization united by the workers. The western union organization stemmed from the industrial revolution and becomes a union which participate in collective bargaining against the employers on behalf of the workers. The participate the negotiations concerns the problems such as workers wages, working hours, working conditions and other aspects relating to the rights and interests of workers activities. The Union has become the labor group’s spokesman as well as the first part of labor relations in the market economy and the representative of the owner of the labor force gradually.Compared to it, the trade union organization in China are under the direct leadership of the government. Meanwhile, it’s the management of enterprises. People in the important position of union is also in the senior leadership of enterprises, this paper will make an empirical analysis on whether China unions make a difference in improving migrant workers’wagesThis paper is divided into four parts:the first part reviews the domestic and foreign research summary of the migrant workers union wage premium benefit. The second part discuss the determination of wage, collective bargaining theory and economic models which lay a theoretical foundation for the analysis of mechanism of migrant workers wage decision and the trade unions impact on wages. This is the starting point of the whole dissertation.