DECA Sports and Entertainment Marketing Practice Exam

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What is the main purpose of a labor union?

  1. An organization of workers formatted to advance the rights and interests of its members

  2. A group that provides training to new employees

  3. An association that manages company investments

  4. A regulatory body overseeing workplace conditions

The correct answer is: An organization of workers formatted to advance the rights and interests of its members

The primary purpose of a labor union is to serve as an organization of workers that focuses on advancing the rights and interests of its members. Labor unions are formed to give workers a collective voice in negotiating with employers over important issues such as wages, working conditions, benefits, and job security. By banding together, members of a labor union can advocate for fair treatment and improved work conditions more effectively than they might as individuals. In contrast to the other options, which highlight different functions, the formation of a labor union specifically emphasizes the collective bargaining power and solidarity among workers. Training new employees, managing company investments, or overseeing workplace conditions do not encapsulate the union's main role of advocating for and representing the interests of the workforce as a whole.