union protects those lazy employees!

In the department I have been worked on, each employee's annual salary is increased purely based on the service year. The longer you have worked here, the higher % you get. There are lots of very old people here (over 55 years old). Their knowledge is out of date and their mind is not very clear either. So last year when we had chance to vote for union, they all voted for union so they could secure their job and also had higher pay increase. If they were in private companies, they we reprobably laid off long time ago. Is this called "大锅饭"?