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The Role of Trust in Determining the Propensity to Join Unofficial Strikes

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  • Gabriele Ruiu

    (University of Sassari, Department of Economics and Business, Sassari, Italy)

Abstract

This paper offers a contribution to the literature on labour strikes by analysing the effect of trust in labour disputes. We maintain that the higher (or lower) the level of confidence that workers place in unions (or firms), the more likely it is that they will be willing to participate in an unofficial strike. A very simple model is presented to clarify this idea. Using the World Value Survey data, we also empirically show that the probability of having or being willing to participate in unofficial strikes increases (or decreases) as the level of confidence placed in labour unions (or firms) increases, with the effect of confidence in labour unions being larger than that of confidence in firms.

Suggested Citation

  • Gabriele Ruiu, 2014. "The Role of Trust in Determining the Propensity to Join Unofficial Strikes," Czech Economic Review, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, vol. 8(3), pages 125-148, December.
  • Handle: RePEc:fau:aucocz:au2014_125
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    More about this item

    Keywords

    Unofficial strike; trust; labour union; collective bargaining; self-serving bias;
    All these keywords.

    JEL classification:

    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J52 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Dispute Resolution: Strikes, Arbitration, and Mediation

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