A strike insurance is integrated into a model based on one-sided private information of the firm. It is shown that the strike insurance will increase the dispute level if payments to the insurance are lump-sum or if payments from the insurance are proportional to wages. However, if wages affect...

Mit jahresdurchschnittlich drei Ausfalltagen je 1.000 Beschäftigten gehört Deutschland nach wie vor zu den OECD-Ländern mit den stabilsten Arbeitsbeziehungen. Im Vereinigten Königreich fielen seit 2010 im Durchschnitt 26 Tage pro Jahr aus, in Frankreich 139 Tage. Dass im Ausland mehr...

This paper examines the effects of industrial action and the impact of strike costs on the industrial action activity. Germany is characterised by having little industrial action. Within the framework of a wage bargaining model, it is argued that higher industrial action costs for the union lead...

We study bilateral bargaining problems with interested third parties, the stakeholders that enjoy benefits upon a bilateral agreement. We explore the strategic implications of this third party involvement. Our main finding is that the potential willingness of the stakeholder to make...

We test the theoretical claim that coordination and centralisation in wage setting reduce strike activity by estimating nonlinear regression models using a dataset of 17 OECD countries for the period 1972-2000. We find moderating effects of coordination on strike activity but the effects are not...