Power, after all, is generally absent from mainstream myths of how labor markets work. At the center of employers’ power is that many firms operate as monopsonies in the labor market. Examples of other such agreements demanded by employers are training repayment agreements, nonsolicitation agreements, and nondisclosure agreements. All of these factors limit workers’ alternatives or are possible because workers’ alternatives are already limited, leaving them with little power to resist employers’ actions. The operation of labor markets, however, is an important one of those factors.

Source: New York Times May 13, 2022 18:22 UTC