The Labor Union Law was promulgated and enacted via amendment and approval in association with the Collective Bargaining Agreement Act and the Settlement of Labor Disputes Law on the first of May 2011. Despite the arguments, the researcher identified the focus of the paper be the development of the labor unions due to the national dependence on foreign trade of Taiwan that urges the Labor Union Law to meet the international standards.
The paper realized the problems confronting the development of the domestic labor unions via the perspective of the transaction cost and understood the impacts of the legal strategies prescribed by the Labor Union Law on said problems via the AHP for the answer to the question: the impacts of the Labor Union Law on the development of the labor unions.
According to the findings, the answer is the employment of adequate legal strategies in terms of the current circumstances. For instance, it is essential to enhance the autonomy of a labor union and the alliance across unions for the establishment thereof or advanced operating efficiency and the advanced political influence and promoted alliance with related interest groups, respectively. As for the bargains with the employers, the strategic multiplicity is the best. In addiction, the findings show that the advanced status of a labor union during bargains with the employer facilitates the development thereof; therefore, the labors and the employer shall focus on the autonomous bargains between the both. Accordingly, a labor union shall be inclined to bargain with the employer and the state shall encourage respective unions to dedicate and devote to group bargains in the future.
Also, the transaction cost of a labor union can be reduced the most by the strategic multiplicity and the enhanced autonomy thereof. Thus, it is suggested the state entitle labors to select the adequate organizational patterns in compliance with the demands freely without excessive central limitation and enact the autonomy of a labor union for better development thereof.