Using nationally representative workplace data for Britain we show that over the last quartercentury union voice - especially union-only voice - has been associated with poorer climate,more industrial action, poorer financial performance and poorer labour productivity than nonunionvoice and, in particular, direct voice. On the other hand, union-based voice regimeshave experienced lower quit rates than non-union and "no voice" regimes, as theory predicts.Over that time, while the workplace incidence of voice has remained constant, with roughly 8workplaces out of 10 providing some form of voice, there has been a big shift from union tonon-union voice, particularly direct employer-made voice. Thus employers are preparedgenerally to bear the costs of voice provision and manifest a reluctance to engage with theirworkforce without voice mechanisms in place. The associations between non-union voicemechanisms and desirable workplace outcomes suggest that these costs may be lower thanthe benefits voice generates.
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Publisher Info
Paper provided by Centre for Economic Performance, LSE in its series CEP Discussion Papers with number
dp0884.