Macroeconomics: UK economy, IB Economics

Polly Toynbee writes on the current wave on industrial action, and whilst I don't agree with all of what she says, it's an interesting attempt to reframe the narrative surrounding this. 

To my mind, it is clear that the government are stoking the current disputes in the hope that come the 2024 General Election, they will be able to play the union card, in arguing that voting Labour will effectively be handing control of the economy to the trade unions. 

The reality is that all of those striking have seen their real incomes decline, the proposed pay deals are well below those being offered in the private sector, and many of them were promised better pay deals by former Prime Minister, Boris Johnson, during the pandemic. Of course, like any of his promises, he probably had absolutely no intention of fulfilling them.

So don't buy the demonisation of the trade unions, and think about each on a case-by-case basis. For example, the rail unions certainly have a case on pay - however, the sector is overstaffed and inefficient; thus, there probably are grounds for compromise here.