Question

A practice, favored by unions, which contractually binds employers to hire only workers who are already members of the union is called a(n):

Answer 1

The correct answer is: Closed Shop.

Step-by-step explanation:

To begin with, the name of "Closed Shop" refers to a type of practice well known as "pre-entry closed shop" too that unions favored with the only purpose to obligate the companies to contract workers who are already members of the union itself so in that situation both the company and the union tend to have an agreement of maintaining certain salary price for the workers so they are not in a continous fight. Moreover, this practice allow the workers to be employed by the company only if they are members of the union and as long as they are members of it.