Lesson Plan

Lesson Plan
Grade: Date: 17/01/2026
Subject: Economics
Lesson Topic: Reasons for differences in wages: relative bargaining strengths
Learning Objective/s:
  • Describe how the relative bargaining strength of workers and employers influences wage levels.
  • Analyse at least three factors that affect bargaining power (e.g., skill level, unionisation, availability of substitutes, geographic mobility, employer concentration, legal framework).
  • Apply a labour‑market diagram to illustrate wage changes when bargaining strength shifts.
  • Evaluate real‑world examples to explain why some workers earn more than others within the same industry.
Materials Needed:
  • Projector and screen
  • PowerPoint/Google Slides with diagrams
  • Printed worksheet on bargaining‑strength factors
  • Case‑study handout (UK construction electricians)
  • Whiteboard and markers
  • Student devices or printed quiz cards for exit ticket
Introduction:

Start with a quick poll: “What reasons do you think explain why some workers earn more than others?” Link responses to the previous lesson on supply and demand in the labour market. Explain that by the end of the lesson students will be able to identify key bargaining‑strength factors and illustrate their impact on wages.

Lesson Structure:
  1. Do‑now (5’): Students list possible reasons for wage differences on sticky notes; share a few examples.
  2. Mini‑lecture (10’): Recap labour‑market equilibrium, introduce “bargaining strength” and its six main factors using slides.
  3. Group analysis (15’): In small groups, students complete the worksheet, matching each factor to its effect on employer or employee power.
  4. Diagram activity (10’): Each group selects one factor, draws the corresponding shift in the supply or demand curve, and explains the resulting wage change.
  5. Case‑study discussion (10’): Examine the UK electricians example; identify which factors are at play and predict wage outcomes.
  6. Formative check (5’): Quick Kahoot/exit‑ticket with two questions on factor identification and diagram interpretation.
Conclusion:

Summarise how differing bargaining strengths create wage differentials and revisit the success criteria. Students complete an exit ticket stating one factor that could raise wages in a local industry. For homework, they research a local sector and write a brief paragraph identifying the dominant bargaining‑strength factor(s) and the expected wage impact.