Labor Markets and Collective Bargaining

The definition of "labor market" is the market in which workers compete for jobs and employers compete for workers. In labor market, wages, benefits and responsibilities of workers are bought and sold. The differentiating factor of labor market from the other markets is the fact that supply and demand rule is not applicable. In the old days, workers (slaves) were bought and sold just like products and therefore, labor market and product market showed major similarities. …