From a firm's point of view, the key question about union wages is whether they are matched by higher:

1. A higher wage bill need not mean higher costs per unit. 2. Union workers command higher wages through collective bargaining. 3. From the firm's point of view, the key question is whether those higher wages are matched. 4. What must match them is higher productivity. _Source: OpenStax Principles of Microeconomics for AP Courses 2e (CC BY 4.0), Ch 15 'Labor Markets and Income'_