Year: 2001
Author: Hübler, Olaf, Meyer, Wolfgang
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 121 (2001), Iss. 3 : pp. 285–311
Abstract
Increased wage inequality between skilled and unskilled workers is a stylized fact, which can be observed in many developed countries. Among the explanations advanced for this phenomenon is the increasing globalization, a skill-biased technical progress, restructuring of the firms, and last but not least, a decreasing importance of industrial relations institutions. In the paper, we investigate in a three-step procedure with German firms' data whether the latter determinant is influential. We control for the other relevant explanations and split industrial relations into three components - coverage of collective bargaining, existence of a works council, and union density - within a four-equation model. We find an insignificant influence of the union density. A works council compresses the wage differentials between skilled and unskilled blue-collar workers while coverage is effective in the opposite direction.
Journal Article Details
Publisher Name: Global Science Press
Language: Multiple languages
DOI: https://doi.org/10.3790/schm.121.3.285
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 121 (2001), Iss. 3 : pp. 285–311
Published online: 2001-03
AMS Subject Headings: Duncker & Humblot
Copyright: COPYRIGHT: © Global Science Press
Pages: 27
Author Details
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