A new study by the National Association of Wholesaler-Distributors (NAW) and Elevated Insights Group examines the economic outcomes of unionized workers in the U.S. manufacturing and transportation sectors. The research focuses on two governing labor laws: the National Labor Relations Act (NLRA), which covers most private-sector unions, and the Railway Labor Act (RLA), which applies to airlines and railroads. 

Here are some of the key findings and takeaways from the research:

Frequent Strikes, Limited Returns

The study found that unions in NLRA-governed industries strike far more often than those under the RLA. Roughly 80% of strikes in manufacturing and transportation cited higher pay as the top demand. Transportation equipment manufacturing was especially strike-prone, with more than 20 walkouts between 2015 and 2024. This single industry accounted for 76% of all work hours lost to strikes in the sector over the past decade. Yet despite frequent and disruptive actions, most unionized NLRA workers did not achieve stronger long-term wage outcomes, the study notes.

Wage Performance Favors RLA and Less-Unionized Groups

The data shows that aggressive bargaining did not translate into outsized earnings growth:

• In 2024, average hourly wages were $38.57 for RLA-unionized jobs requiring a high school diploma, compared to $37.00 in the Postal Service, $27.17 in the most highly unionized NLRA jobs, and $25.88 in the least unionized NLRA jobs.
• Over the past decade, RLA jobs saw wages grow 34%, compared to 26% for the most unionized NLRA jobs and 25% for the Postal Service. Surprisingly, the least unionized NLRA jobs grew the fastest at 36%.

Layoffs Coincide with Union Pressure

The study also found a link between aggressive union activity and large-scale layoffs. Between 2015 and 2024, 60% of mass layoffs (defined as 1,000+ jobs lost) in manufacturing and transportation occurred at unionized companies. In transportation equipment manufacturing, 87% of major layoffs involved unionized employers — many occurring within a year of significant strike activity.

The study highlighted examples of major manufacturers for this. General Motors experienced strikes in 2015, 2019 and 2023, alongside five mass layoffs impacting 12,400 jobs. Stellantis faced a similar cycle, with four strike actions in the past decade followed by layoffs affecting more than 9,000 workers. 

Policy Implications

The report concluded that while unions remain a key voice for workers, excessive reliance on strikes and wage pressure has not delivered the promised results under NLRA governance. Workers in less unionized NLRA or RLA-regulated industries have often fared better, enjoying stronger wage growth and greater stability. For policymakers, this raises questions about the balance between preserving collective bargaining rights and promoting sustainable economic performance.

“These findings underscore that, over the past decade, workers have not realized gains from aggressive union leader tactics,” NAW CEO Eric Hoplin said in a news release. “In fact, the opposite trend is clear: the least unionized workers have seen greater wage growth.”

You can find a wealth of more in-depth insights by downloading the full report here.