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Trade unions have featured prominently in explanations of Britain′s relative industrial decline. Indeed, for at least a century, unions and their members have been accused of damaging productivity, increasing labour costs and destroying jobs. These claims are evaluated to see whether they are the product of systematic research evidence or mere prejudice. Focusing on the unions‐productivity link, looks at the most recent research evidence for Britain, situates it in a theoretical context, including recent American controversies, and then discusses the consequences of diminishing union membership and influence for the structure, performance and future prospects of the British economy.

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