The Lack of Wage Setting Power of Estonian Trade Unions?

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The Lack of Wage Setting Power of Estonian Trade Unions?

Author Info

Raul Eamets () (Faculty of Economics and Business Administration, University of Tartu)
Epp Kalaste (PRAXIS)

Abstract

The current article presents the concept of labour market flexibility and its role in transition economies. The role of unions in labour market flexibility is described in order to assess the role of unions in Estonia. We assume that the wage differential reflects the power of trade unions to shape the working conditions in the workplace. Therefore the most common approach is followed for estimating the wage differential i.e. analysing personal, occupation and industry characteristics. It appears that Estonian trade unions do not have enough bargaining power to result in a positive wage gap for union members. This result was expected because trade union density and coverage rates are very low in Estonia.

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Publisher Info
Article provided by Baltic International Centre for Economic Policy Studies in its journal Baltic Journal of Economics.

Volume (Year): 5 (2004/2005)
Issue (Month): 1 (December)
Pages: 44-60
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Handle: RePEc:bic:journl:v:5:y:2004/2005:i:1:p:44-60

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Find related papers by JEL classification:
J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

Blanchard, Olivier & Jimeno, Juan F, 1995. "Structural Unemployment: Spain versus Portugal," American Economic Review, American Economic Association, vol. 85(2), pages 212-18, May. [Downloadable!] (restricted)
Alex Bryson, 2002. "The Union Membership Wage Premium: An Analysis Using Propensity Score Matching," CEP Discussion Papers dp0530, Centre for Economic Performance, LSE. [Downloadable!]

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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

Michael Landesmann & Hermine Vidovic & Vladimir Gligorov & Robert Stehrer & Anna Iara, 2008. "Western Balkan Countries: Adjustment Capacity to External Shocks, with a Focus on Labour Markets," Research Reports 352, The Vienna Institute for International Economic Studies, wiiw. [Downloadable!]

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This page was last updated on 2009-11-14.

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