GERMAN WORKS COUNCILS AND THE ANATOMY OF WAGES

Using matched employer-employee data from the German LIAB for 2001, the authors found that German works councils are in general associated with higher earnings, even after accounting for establishment-and worker heterogeneity. Works council wage premia exceed those of collective bargaining and are h...

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Veröffentlicht in:Industrial & labor relations review 2010-01, Vol.63 (2), p.247-270
Hauptverfasser: ADDISON, JOHN T., TEIXEIRA, PAULINO, ZWICK, THOMAS
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container_title Industrial & labor relations review
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creator ADDISON, JOHN T.
TEIXEIRA, PAULINO
ZWICK, THOMAS
description Using matched employer-employee data from the German LIAB for 2001, the authors found that German works councils are in general associated with higher earnings, even after accounting for establishment-and worker heterogeneity. Works council wage premia exceed those of collective bargaining and are higher, in fact, where both institutions are present in the workplace. The authors also found evidence indicating that works councils benefit women relative to men and appear to favor foreign, east-German, and service-sector workers as well. Separate evidence from quantile regressions suggests that the conjunction of works council presence and collective bargaining is important to the narrowing process. In smaller plants even the presence of a works council markup depends on the coexistence of the works council entity with the machinery of collective bargaining.
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source RePEc; PAIS Index; HeinOnline Law Journal Library; Business Source Complete; Sociological Abstracts; SAGE Complete A-Z List; Jstor Complete Legacy
subjects Benefits
Collective Bargaining
Data analysis
Earnings
Employee relations
Employees
Employment
Federal Republic of Germany
Germany
Job satisfaction
Labor management relations
Labor policy
Labor relations
Labour relations
Machinery
Manual labor
Overtime
Regression analysis
Secessionism
Wage levels
Wages
Wages & salaries
Women workers
Work councils
Workers
Working Women
Workplaces
Works councils
title GERMAN WORKS COUNCILS AND THE ANATOMY OF WAGES
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