Separate issues.

The Uni thinks its worth a certain amount and can justify it because people pay it. People will normally get grants and fellowships to achieve this, and the name of the school helps a lot with the grants.

But these rarely give you a stipend, and some scholarships given by the school require you work at the school as well. People find themselves as employees and students. But just like being an employee won't give you any benefits in class, there's no reason than being a student means you can demand less of your job. Two separate roles and separate issues.

Perfectly fair that if the college is going to offer jobs "to help people self-sustain" they should be capable of self-sustenance with that job. A Union is a good way for students to define what are their needs.