What does the Pope mean by this?

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Governments, for reasons of economic utility, often limit the freedom or the negotiating capacity of labor unions. Hence traditional networks of solidarity have more and more obstacles to overcome. The repeated calls issued within the Church’s social doctrine, beginning with Rerum Novarum [60], for the promotion of workers’ associations that can defend their rights must therefore be honored today even more than in the past, as a prompt and far-sighted response to the urgent need for new forms of cooperation at the international level, as well as the local level. #25]

Jerome E. Listecki, Archbishop of Milwaukee, used this line from the Pope’s 2009 encyclical, Caritas in veritate, as to cite support from the Church of worker’s rights and unions.

Is it really in support of unions, or something more general?
 
Pope Benedict seems to be referring to trade union type organisations, much as Pope Leo XII referred to them in Rerum Novarum. The Church’s Social Teaching has long been concerned with such things as the proper treatment of the worker and trade union type organisations can play a part in achieving such proper treatment. obviously the unions can go a bit nuts at times as well but the church doesn’t advocate unqualified support of them either
 
There can be no question that free human organizations such as trade unions are part of Catholic social teaching. What occurs are real practices by real people – good and bad practices. While communism and socialism are intrinsically bad for the common good, the free market with sensible laws for the common good is what Blessed John Paul II recognises as the answer.

CCC2425: She has likewise refused to accept, in the practice of “capitalism,” individualism and the absolute primacy of the law of the marketplace over human labor.

Notice the acceptance of “the practice of ‘capitalism’ ” but which must exclude “individualism and the absolute primacy of the law of the marketplace over human labor” which is why She insists on subsidiarity, and free associations, including trade unions, and the government role to guarantee and enforce clear rules that establish and protect the ownership of private property and enforce contract, as well as punish people who take what is not theirs. The Law – transparent, providing equal justice, and impartially administered – is as important an institution to civilised society as the free market, which itself could be described as a mechanism for communicating prices.
 
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