Surreal illustration of a West Virginia coal mine as a clockwork mechanism, symbolizing the complex relationship between labor and productivity.

Union Impact: Unveiling the Productivity Puzzle in Coal Mining History

Lena Kashyap in Business & Economy August 2025 • 4 min read.

"Explore the surprising effects of unionization on productivity in West Virginia's coal mines during the early 20th century."

For decades, the impact of labor unions has sparked intense debate. While unions are often associated with wage increases and improved working conditions, their effect on productivity remains a complex and often contested issue. Do unions empower workers and drive efficiency, or do they create rigidities that stifle innovation and growth?

In a groundbreaking historical study, economist William M. Boal delved into this question by examining the coal mines of West Virginia during the tumultuous years of 1897 to 1928. This period, marked by significant labor unrest and fluctuating union influence, provides a unique opportunity to understand the multifaceted relationship between unionization and productivity.

Boal's research leverages a comprehensive panel dataset of West Virginia coal mines, meticulously tracking their output, labor practices, and union status over three decades. This granular approach allows for a nuanced analysis, revealing not only the overall impact of unions but also how that impact shifted over time and under different conditions.

The Coal Mine Paradox: Unearthing Unexpected Results

Surreal illustration of a West Virginia coal mine as a clockwork mechanism, symbolizing the complex relationship between labor and productivity.

Boal's findings challenge conventional wisdom. Contrary to expectations, the study reveals that unionization had a minimal impact on coal mine productivity before 1914. However, a significant shift occurred in the years following. After 1914, unionized mines experienced a productivity decline of 5 to 10 percent.

Even more surprising, this negative effect persisted even after mines were deunionized. This raises critical questions about the long-term consequences of unionization and the factors that might explain this productivity downturn. Was it due to restrictive work practices, decreased investment, or a deterioration in labor relations? The study explores various possibilities.

Initial Neutrality: Before 1914, unions had little discernible impact on productivity.
Post-1914 Decline: A significant productivity decrease of 5-10% in unionized mines.
Persistent Effects: The negative impact lingered even after mines reverted to non-union status.
Complex Causation: A combination of factors likely contributed to the decline.

One compelling explanation centers on the changing dynamics of labor relations. The violent Paint Creek-Cabin Creek strike of 1912-1913 served as a turning point, radicalizing union members and fostering an environment of distrust and conflict between workers and management. This shift from cooperation to confrontation may have had lasting repercussions on productivity.

Lessons from the Coalfields: A Broader Perspective

Boal's study offers valuable insights into the complex relationship between unions and productivity, highlighting the importance of historical context and the potential for unintended consequences. The West Virginia coal mines of the early 20th century may seem like a distant world, but the lessons learned from this era continue to resonate in today's labor debates. Understanding how unionization can both empower workers and create challenges is crucial for fostering a more productive and equitable economy.

About this Article -

This article was crafted using a human-AI hybrid and collaborative approach. AI assisted our team with initial drafting, research insights, identifying key questions, and image generation. Our human editors guided topic selection, defined the angle, structured the content, ensured factual accuracy and relevance, refined the tone, and conducted thorough editing to deliver helpful, high-quality information.See our About page for more information.

This article is based on research published under:

DOI-LINK: 10.1177/0019793916682222, Alternate LINK

Title: The Effect Of Unionization On Productivity: Evidence From A Long Panel Of Coal Mines

Subject: Management of Technology and Innovation

Journal: ILR Review

Publisher: SAGE Publications

Authors: William M. Boal

Published: 2016-12-05

Everything You Need To Know

What impact did unionization have on coal mine productivity in West Virginia between 1897 and 1928?

In West Virginia coal mines between 1897 and 1928, unionization initially had a minimal impact on productivity. However, after 1914, unionized mines experienced a 5 to 10 percent productivity decline. Surprisingly, this negative effect persisted even after mines were deunionized, raising questions about the long-term consequences of unionization. This complex issue involves a combination of factors that contributed to the decline.

What were the main findings of Boal's research on unionization and productivity in West Virginia coal mines?

Boal's study revealed that unionization had little discernible impact on coal mine productivity before 1914. However, a significant productivity decrease of 5-10% was observed in unionized mines after 1914. This negative impact lingered even after mines reverted to non-union status. The complex causation is likely due to a combination of factors, including restrictive work practices, decreased investment, and a deterioration in labor relations.

How did the Paint Creek-Cabin Creek strike of 1912-1913 influence productivity in West Virginia's coal mines?

The Paint Creek-Cabin Creek strike of 1912-1913 played a significant role. This event radicalized union members and fostered an environment of distrust between workers and management. This shift from cooperation to confrontation likely had lasting repercussions on productivity, potentially leading to the observed decline in unionized mines even after deunionization.

Beyond the specific context of West Virginia coal mines, what broader lessons can be learned about the relationship between unions and productivity?

While the study primarily focuses on coal mines in West Virginia, the findings offer insights into the broader relationship between unions and productivity. The research emphasizes the importance of considering historical context and the potential for unintended consequences when assessing the impact of unionization. Understanding these dynamics is crucial for fostering a more productive and equitable economy.

Does this research explore how unions influenced wages or working conditions alongside productivity in the West Virginia coal mines?

The study does not explicitly address the impact of unions on wages and working conditions. However, it acknowledges that unions are often associated with wage increases and improved working conditions. Boal's research focuses specifically on the effect of unionization on productivity, providing a detailed analysis of output, labor practices, and union status in West Virginia coal mines during the specified period. Further studies would be needed to determine if productivity was affected by changing wages and working conditions.