Despite the "1/N problem" associated with profit sharing, the empirical literature finds that sharing profits with … observing that, although the incentive to work harder under profit sharing is weak, it might be sufficient to motivate workers … for this conjecture and we discuss the results of an experiment that confirms that profit sharing is most effective when …

We analyze the impact of profit sharing on the share of workers receiving training. An effect is plausible because: 1 …) profit sharing is a credible commitment by firms to reward firm-specific skills acquired by formal or informal training, 2 …) profit sharing may reduce turnover and increase the returns to training, 3) a common payment for the whole workforce leads to …

Traditionally, it has been argued that profit sharing can increase employment and welfare because it lowers marginal … labour costs without reducing total cost or labour income. In this paper, we show that profit sharing can also represent a … Pareto-improvement if labour supply is excessive due to relative consumption effects. Mandatory profit sharing reduces wages …

the implementation of profit sharing influence flexible outsourcing? We show that in general profit sharing has a negative … a constant effort level will result so that in this case firm's optimal choice of profit sharing is zero …

We combine profit sharing and outsourcing, if the wage for worker is decided by a labor union to analyze how does the … implementation of profit sharing affect individual effort and the bargained wage and thus outsourcing? We find that profit sharing … wage effect of profit sharing is ambiguous. There is a wage decreasing substitution effect, but on the other hand, there is …

We combine profit sharing for high-skilled workers and outsourcing of low-skilled tasks in partly imperfect dual … of profit sharing influence flexible outsourcing and low-skilled labour market outcome. Profit sharing has a positive … effect on the low-skilled wage and thus an outsourcing enhancing character. Profit sharing for high-skilled workers increases …

markets, where high skilled workers participate in firm's profit via profit sharing: How does the implementation of profit … sharing influence flexible outsourcing? What is the relationship between outsourcing cost, profit sharing and wages? We show … that profit sharing has a positive effect on low skilled wage and thus an outsourcing enhancing character. The wages of …

We analyze the following questions associated with outsourcing and profit sharing under imperfect labour markets. How … does strategic outsourcing influence wage formation, profit sharing and employee effort when firms commit to optimal profit … sharing before wage formation or decide for profit sharing after wage formation? What is the relationship between outsourcing …