👉 The wage weapon refers to the leverage that workers can exert over employers through collective bargaining and strikes, which can significantly impact labor costs and, consequently, a company's profitability. When workers unite to demand higher wages or better working conditions, they can force employers to negotiate, potentially leading to wage increases that may not be sustainable in the long term due to inflation or economic pressures. This leverage can also prompt employers to invest in automation or outsource labor to maintain profitability, ultimately affecting the overall wage structure and economic dynamics.
