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Slip Sliding Away: Further Union Decline In Germany And Britain

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Author Info

  • John T. Addison
  • Alex Bryson
  • Paulino Teixeira
  • André Pahnke

Abstract

This paper presents the first comparative analysis of the decline in collective bargaining in two European countries where that decline has been most pronounced. Using workplace-level data and a common model, we present decompositions of changes in collective bargaining and worker representation in the private sector in Germany and Britain over the period 1998-2004. In both countries within-effects dominate compositional changes as the source of the recent decline in unionism. Overall, the decline in collective bargaining is more pronounced in Britain than in Germany, thus continuing a trend apparent since the 1980s. Although workplace characteristics differ markedly across the two countries, assuming counterfactual values of these characteristics makes little difference to unionization levels. Expressed differently, the German dummy looms large.

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Bibliographic Info

Article provided by Scottish Economic Society in its journal Scottish Journal of Political Economy.

Volume (Year): 58 (2011)
Issue (Month): 4 (09)
Pages: 490-518

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Handle: RePEc:bla:scotjp:v:58:y:2011:i:4:p:490-518

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References

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  1. Addison, John T. & Schnabel, Claus & Wagner, Joachim, 2006. "The (Parlous) State of German Unions," IZA Discussion Papers 2000, Institute for the Study of Labor (IZA).
  2. Stephen Machin, 2000. "Union Decline in Britain," British Journal of Industrial Relations, London School of Economics, vol. 38(4), pages 631-645, December.
  3. Claus Schnabel & Joachim Wagner, 2005. "Who are the workers who never joined a union? Empirical evidence from Germany," Working Paper Series in Economics 12, University of Lüneburg, Institute of Economics.
  4. Fitzenberger, Bernd & Kohn, Karsten & Wang, Qingwei, 2006. "The Erosion of Union Membership in Germany: Determinants, Densities, Decompositions," IZA Discussion Papers 2193, Institute for the Study of Labor (IZA).
  5. Ben Jann, 2006. "FAIRLIE: Stata module to generate nonlinear decomposition of binary outcome differentials," Statistical Software Components S456727, Boston College Department of Economics, revised 26 May 2008.
  6. John T. Addison & Lutz Bellman & Alex Bryson & André Pahnke & Paulino Teixeira, 2009. "The Extent of Collective Bargaining and Workplace Representation: Transitions between States and their Determinants. A Comparative Analysis of Germany and Great Britain," CEP Discussion Papers dp0954, Centre for Economic Performance, LSE.
  7. Alex Bryson & Rafael Gomez, 2003. "Why Have Workers Stopped Joining Unions?," CEP Discussion Papers dp0589, Centre for Economic Performance, LSE.
  8. Alex Bryson & P Willman, 2006. "Accounting for Collective Action: Resource Acquisition and Mobilization in British Unions," CEP Discussion Papers dp0768, Centre for Economic Performance, LSE.
  9. Bryson, Alex & Gomez, Rafael, 2005. "Why have workers stopped joining unions? Accounting for the rise in never-membership in Britain," Open Access publications from London School of Economics and Political Science http://eprints.lse.ac.uk/, London School of Economics and Political Science.
  10. Brown , W. & Bryson , A. & Forth , J., 2008. "Competition and the Retreat from Collective Bargaining," Cambridge Working Papers in Economics 0831, Faculty of Economics, University of Cambridge.
  11. Susanne Kohaut & Claus Schnabel, 2003. "Tarifverträge - nein danke!?, Ausmaß und Einflussfaktoren der Tarifbindung west- und ostdeutscher Betriebe," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 223(3), pages 312-331, May.
  12. Schnabel, Claus & Zagelmeyer, Stefan & Kohaut, Susanne, 2005. "Collective bargaining structure and its determinants : an empirical analysis with British and German establishment data," IAB Discussion Paper 200516, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  13. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, vol. 61(1), pages 5-21, March.
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Citations

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Cited by:
  1. John T. Addison & Alex Bryson & Paulino Teixeira & André Pahnke & Lutz Bellmann, 2011. "The State of Collective Bargaining and Worker Representation in Germany: The Erosion Continues," GEMF Working Papers 2011-09, GEMF - Faculdade de Economia, Universidade de Coimbra.
  2. Ceyhun Elgin, 2012. "Unionization and Informal Economy," Working Papers 2012/11, Bogazici University, Department of Economics.

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