In today’s workforce, union membership isn’t as widespread as it once was. Years ago the percentage of private sector employees who were members of unions was much higher. In 1974, nearly a quarter of the private sector workforce was unionized. Now, that figure is 6.6 percent.
In an attempt to curtail this downward trend, many unions have resorted to alternative types of organizations through which they do some of their organizing and representational work. Given the generic moniker, “worker centers,” they claim to do work and advocate on behalf of employees, like labor organizations do. Yet, many of these organizations are not setup as labor organizations and this is problematic from a tax law standpoint.
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