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Employee participation programs, group-based incentives, and company performance: A union-nonunion comparison

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  • William N. Cooke
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    Abstract

    This analysis examines whether union representation positively or negatively influences the effectiveness of employee participation programs and group-based incentives in improving firm performance. Examined at the firm level, a model of the independent and interaction effects of participation, profit and gain sharing, and union representation is estimated against data on 841 manufacturing firms in Michigan in 1989. The evidence indicates that employee participation programs contributed substantially more to performance in unionized firms than in nonunion firms, whereas profit and gain sharing programs contributed substantially more to performance in nonunion firms than in unionized firms. (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): 47 (1994)
    Issue (Month): 4 (July)
    Pages: 594-609

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    Handle: RePEc:ilr:articl:v:47:y:1994:i:4:p:594-609

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    Cited by:
    1. Addison, John T., 2005. "The Determinants of Firm Performance: Unions, Works Councils, and Employee Involvement/High Performance Work Practices," IZA Discussion Papers 1620, Institute for the Study of Labor (IZA).
    2. S. Black & L. Lynch, 1997. "How to compete: the impact of workplace practices and information technology on productivity," LSE Research Online Documents on Economics, London School of Economics and Political Science, LSE Library 20298, London School of Economics and Political Science, LSE Library.
    3. Long, Richard J. & Fang, Tony, 2013. "Profit Sharing and Workplace Productivity: Does Teamwork Play a Role?," IZA Discussion Papers 7869, Institute for the Study of Labor (IZA).
    4. Hyondong Kim & Kyra Sutton & Yaping Gong, 2013. "Group-based pay-for-performance plans and firm performance: The moderating role of empowerment practices," Asia Pacific Journal of Management, Springer, Springer, vol. 30(1), pages 31-52, March.
    5. Nicholas Bloom & John Van Reenen, 2010. "Human Resource Management and Productivity," CEP Discussion Papers, Centre for Economic Performance, LSE dp0982, Centre for Economic Performance, LSE.
    6. Bhattacherjee, Debashish, 2003. "The Effects of Group Incentives in an Indian Firm - Evidence from Payroll Data," Working Papers, University of Aarhus, Aarhus School of Business, Department of Economics 03-14, University of Aarhus, Aarhus School of Business, Department of Economics.
    7. Ugarte, Armando & Oren, Shmuel, 2000. "Coordination of internal supply chains in vertically integrated high-tech manufacturing organizations (HTMOs)," International Journal of Production Economics, Elsevier, Elsevier, vol. 67(3), pages 235-252, October.
    8. Park, Rhokeun, 2012. "Cognitive and affective approaches to employee participation: Integration of the two approaches," Journal of World Business, Elsevier, Elsevier, vol. 47(3), pages 450-458.
    9. Levin, Henry M., 1997. "Raising school productivity: An x-efficiency approach," Economics of Education Review, Elsevier, Elsevier, vol. 16(3), pages 303-311, June.

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