This paper utilizes household and establishment survey data from Mexico to explore the impact of unions on wages, wage inequality, fringe benefits, turnover, job training, productivity, and profits. Mexican unions are statistically significantly associated with these outcome measures for workers and firms. Unions are associated with increased wages, decreased wage inequality, increased fringe benefits per worker, increased job training, and increased productivity per worker. Contrary to the broader literature on union effects, unionized establishments in Mexico experience greater worker turnover. The union association with establishment profit rates is insignificantly different from zero.
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Article provided by El Colegio de México, Centro de Estudios Económicos in its journal Estudios Económicos.
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
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