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Using a linked employer-employee data set for Germany, this paper analyzes labour fluctuation and wage setting in a cohort of newly founded and other establishments from 1997 to 2001. We show empirically that start-ups tend to have higher labour turnover rates, ceteris paribus. Moreover,...
Persistent link: https://www.econbiz.de/10002537396
Theory suggests that firms confront a hold-up problem in dealing with workplace unionism: unions will appropriate a portion of the quasi rents stemming from long-lived capital. As a result, firms may be expected to limit their exposure to rent seeking by reducing investments, among other things....
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the regional unemployment rate. In testing this hypothesis, most empirical studies have not taken into account that … wages with respect to unemployment postulated by Blanchflower and Oswald. In this regime, we also find that works councils … dampen the adjustment of wages to the regional unemployment situation. In the other regimes of plants that either do not make …
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Building on the right-to-manage model of collective bargaining, this paper tries to infer union power from the observed results in wage setting. It derives a time-varying indicator of union strength and confronts it with annual data for Germany. The results show that union power was relatively...
Persistent link: https://www.econbiz.de/10009259899
Using a representative establishment dataset, this paper is the first to analyze the incidence of wage posting and wage bargaining in the matching process from the employer’s side. We show that both modes of wage determination coexist in the German labor market, with about two-thirds of...
Persistent link: https://www.econbiz.de/10010126911
Using a representative establishment dataset, this paper is the first to analyze the incidence of wage posting and wage bargaining in the matching pro-cess from the employer’s side. We show that both modes of wage determination coexist in the German labor market, with about two-thirds of...
Persistent link: https://www.econbiz.de/10010187629