Introduction A trade union is the organization of employees with common aim of achieving working environment which favors the employees. For instance, it promotes safe and comfortable working conditions. Workers’ union is also formed to bargain for high wages for employees covered by the union. When employees form a union, they can bargain for their needs collectively. On the other hand, labor unions come along with costs to an organization. In other words, union of workers can affect the profitability of a company by increasing its operational costs. Discussion Union organizing process can be threatening to the performance of a company by increasing its production costs. Blank (not dated), observed that labor unions has been successful in various cases while negotiating for high wages for employees (par 5). Consequently, this may severely affect the competitiveness of many companies. For instance, an organization does not have powers to fire unproductive employees without just reasons if its workforce is covered by a union. This forces a company to retain unproductive employees consequently increasing its production costs significantly. Considering the current situation in our company, union organizing cards are already being circulated among employees. This implies that there is likelihood for the employees voting for the union. A great number of employees are already decided to vote for a union. However, the top management team of the company is against this idea of formation of a union. Union can also reduce the market value of a company (McClain, 2010, par 5). This is caused by the losses which an organization faces due to inefficiencies associated with the unionization. These include unnecessary level of benefits which may affect the profitability of the organization. It is very clear that formation of a union will come with costs to the company. Therefore, there is a need to take swift and effective action in order to avoid circumstances which can lead the company to sign a contract. However, this should be done with a lot of care by taking into consideration the fact that unfair labor charges may be filed against the company. This may on the other hand increase the operational costs. By 1960s, most top management in many organizations had recognized unions and viewed collective bargaining as acceptable ways for determining wages and working conditions (Freeman & Kleiner, 1988, p. 3). However, in 1970s and 1980s, most companies displayed their dislike towards the labor unions following their impact on their performance (Freeman & Kleiner, 1988, p. 3). How to manage and supervise when a union organizing drive is going on; persuading employees not to vote pro-union Employees’ participation is one of the major factors which determine the success of developing a union (Anonymous, 2010, par 4). In most cases, employees may be encouraged to vote for labor union when new and unfavorable conditions are posed on them by the employers. In this particular company, employees are triggered to embrace a labor union by the current changes which have taken place in the company four months ago. First, the company has organized the employees into teams. The employees are also uncomfortable with the changes in