In unionized firms,layoffs are typically based on performance.

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Layoffs in unionized firms are typically based on seniority, not performance. This is because unions prioritize job security for their members and believe that employees with more years on the job deserve greater protection from layoffs. However, some collective bargaining agreements may also consider performance as a factor in layoffs if seniority alone cannot determine who should be laid off.

In Unionized Firms,layoffs Are Typically Based on Performance