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The productivity effects of worker directors and financial participation in the firm: The case of British Retail Cooperatives

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  • Derek C. Jones

Abstract

In British retail cooperatives, workers have long had the opportunity to participate financially in their enterprises, through such mechanisms as employee ownership, and to serve on boards. Using data from a 1978 sample of 50 cooperatives, the author of this paper presents econometric estimates of the effects on co-op productivity of these channels of participation. He finds that the presence of worker directors modestly increases productivity, whereas, surprisingly, financial participation in the firm by employees reduces productivity. The net impact on productivity of both forms of participation is small but positive. (Abstract courtesy JSTOR.)

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Bibliographic Info

Article provided by ILR Review, Cornell University, ILR School in its journal ILR Review.

Volume (Year): 41 (1987)
Issue (Month): 1 (October)
Pages: 79-92

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Handle: RePEc:ilr:articl:v:41:y:1987:i:1:p:79-92

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Cited by:
  1. Xin Meng & Frances Perkins, 1996. "Behavioural Differences among Chinese Firms From the Perspective of Earnings Determination," Departmental Working Papers, The Australian National University, Arndt-Corden Department of Economics 1996-09, The Australian National University, Arndt-Corden Department of Economics.
  2. Alex Bryson & Richard B. Freeman, 2010. "How Does Shared Capitalism Affect Economic Performance in the United Kingdom?," NBER Chapters, National Bureau of Economic Research, Inc, in: Shared Capitalism at Work: Employee Ownership, Profit and Gain Sharing, and Broad-based Stock Options, pages 201-224 National Bureau of Economic Research, Inc.
  3. Douglas Kruse & Joseph Blasi, 1995. "Employee Ownership, Employee Attitudes, and Firm Performance," NBER Working Papers 5277, National Bureau of Economic Research, Inc.

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