Comparative Analysis of Union Management Relations in Ontario

This report examines the potential impact of Alberta's new law on union management relations in Ontario, Canada, from two contrasting perspectives: the neoclassical paradigm and the orthodox pluralist paradigm. The neoclassical paradigm, emphasizing rational economic behavior, views the law's opt-out provision favorably, expecting it to boost Ontario's economy by aligning individual interests with market forces. Conversely, the orthodox pluralist paradigm, which highlights inherent conflicts in employment relationships, views the law's implementation as complex due to Ontario's political dynamics and potential for bargaining power imbalances. The report references the Rand formula and collective bargaining agreements. The analysis highlights the similarities and differences in how these paradigms interpret the law and its potential consequences, including its effects on labor relations, economic growth, and political action. The report concludes by contrasting the analysts' differing views on the new law's implementability in Ontario.

Running head: Union Management Relations 1
Union Management Relations
Name
Institution
Date

Union Management Relations 2
There are varying views on Alberta’s new law about whether the law should be adopted
in Ontario for the benefit of Canadians by two analysts- neoclassical paradigm and orthodox
pluralist paradigm. The assignment explains how Alberta’s new law would be viewed,
understood, and interpreted by each analyst in the context of Ontario, Canada.
Neoclassical paradigm is dominant framework that is used by the economists to analyze
the works of the economy. And this is per the world view, workers, customers and all firms make
rational calculation according to their own understanding and interests. The aggregations of
rationally behaviors which are motivated are used in prediction making about the quality and
quantity of goods and services that are produced and also the prices at which they will be sold to
the customer by the firm (United Concervatives, 2019). The pluralist paradigm analyzes
employment relationship and work from rooted theoretical perspective in inherent conflicts
mostly of interest between the employees and employers who interact in labor markets which are
imperfect. The Ontario needs to implement the new Alberta’s law as to solve all the problems
and also meditate all the conflicts involved in the Canadian economy.
Understanding of the new Alberta’s law is not an easy thing for the two analysts.
According to the neo-classical paradigm analyst, the Alberta’s new law will allow people of
Ontario to opt out of paying the non-bargaining portion if those non-bargaining purposes get
imposed as per the new law. The neo-classical paradigm analysts’ views this law as the best
thing to have happened in Ontario’s economy. This is because the neoclassical paradigm is used
in to analyze the Ontario’s economy and thus will help in the growth of Ontario’s economy
(United Concervatives, 2019). Neoclassical paradigm also is used for interest of calculation by

Union Management Relations 3
the Ontario government where all Canadian firms are involved. This will make final decisions
whether new law will help the economy or not.
As per the orthodox pluralist paradigm, the Alberta’s new law is mostly used in
employment relationships between employers and workers. The employment relationship is
taken as bargaining problem which only takes place between the competing interests of the
involved stakeholders. The outcomes of employment depend on elements of environment and
also the bargaining powers of each stakeholder (United Concervatives, 2019). This new law is
viewed by orthodox pluralist paradigm as law which will serve as a strong tool for stakeholders
when bargaining and working as well. This law will act as a model for relationships for
employment because it a rule which will govern the employee and employers interactions.
The similarity of these two analysts; orthodox pluralist and neoclassical paradigm is that
both encourage development of tactics by small groups in a political context. In particular, the
two theories apply to the Alberta’s new law that will govern competition and business policies
by both small and large companies. The Ontario government is entitled to protect all business
interests regardless of the company size. The both paradigm dominates the economy of Ontario
as whole (United Concervatives, 2019). According to the two analysts, the new Alberta’s law
will work on perfectly making Ontario’s economy strong is strictly complied by all stakeholders.
Also, the Alberta’s new law will help in building political action which has been stressful to the
country in the past years, and this is the opinion presented by the two sides. Further, the
Alberta’s new law will make Ontario, Canada a more democratic state where altruism and other
selfish behaviors cannot exist. This behavior can be incorporated in the analysis of the economy
by adjusting the utility functions which also include welfare of the people.

Union Management Relations 4
The orthodox pluralist paradigm analyst considers the Alberta’s new law to be difficult in
implementation at Ontario. On the other side, the neo-classical paradigm analyst considers the
Alberta’s new law to suit best and easily implementable in Ontario. The orthodox pluralist
paradigm states that the implementation of Alberta’s law will be adversely affected by political
power that lacks coordination in Ontario. In simple terms, this analyst thinks that Ontario has
poor mechanisms of implementing this new law and thus would be ineffective and not applicable
to this city. The neo-classical paradigm analyst believes that the Alberta’s new law seeks to
increase the welfare of Ontario’s people, and thus nothing will prevent its efficiency and
effectiveness in Canada. (United Concervatives, 2019). This analyst is more influential than the
later, since a great attention to capital and labor factors is employed. Although the neo-classical
paradigm analyst argue that the Alberta’s new law will act interchangeably in a short run with
more flexibility, changing labor in reality is much easier than altering capital in the context of
Ontario.

Union Management Relations 5
References
United Concervatives. (2019). Alberta Strong & Free: Getting Alberta Back to Work. Ontario:
Milton. Retrieved May 16, 2019