Abstract Unions have been struggling in Canada’s current economy. The rate of workers joining unions is on a downward slide, noticeably so in the public sector, despite the fact the unions helped to stabilize and grow the economy in the past. Due to the current economic turmoil, unions have had to resort to strategies that will allow them to lower operating costs and compete with global competitors. Although unions are facing difficulties, they are still of benefit to workers.History of Unions in Canada and their Effects on the Economy Unions have been apart of Canadian history since the early 1800’s. Records show tradesmen in the Maritimes having unions during the war of 1812 despite such organizations not being legalized in Canada until 1872 (Maple Leaf Web). Approximately 31% of all workers in Canada belong to unions (United Food and Commercial Workers Canada)(Canadian Labour Congress).