What is the term for an organization that receives financial support from the company whose employees it represents?

Study for the Aviation Labor Relations Exam. Dive into detailed questions and explanations, covering key topics in aviation industry labor relations. Prepare thoroughly for your test with us!

The term for an organization that receives financial support from the company whose employees it represents is known as a company union. Company unions are typically established by the employer and can be seen as a way for the company to control labor relations, as these unions may align closely with the interests of the employer rather than those of the workers. This structure often leads to a lack of true representational independence for the employees, as the union may prioritize the company's objectives over the needs of the workforce.

In contrast, independent unions are organizations formed by employees without employer influence, allowing them to advocate for their interests more effectively. Trade unions are broader organizations that represent workers in specific trades or industries and may not have direct financial ties to particular employers. National unions generally serve as larger frameworks that encompass multiple local unions, focusing on representing workers' interests at a national level but without the dependency on a specific employer's financial support.

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