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Unions and Workplace Performance in Britain and France

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Author Info
Alex Bryson
John Forth
Patrice Laroche

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Abstract

Using nationally representative workplace surveys we examine the relationship between unionization and workplace financial performance in Britain and France. We find that union bargaining is detrimental to workplace performance in Britain and that this effect is larger when unionization is endogenized. In France, union bargaining is associated with poorer workplace performance but the effect disappears once unionization is treated as endogenous. However, high levels of union density do have a negative impact on workplace performance in France. In Britain the union effect does not rise with union density.

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Paper provided by Centre for Economic Performance, LSE in its series CEP Discussion Papers with number dp0920.

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Date of creation: Apr 2009
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Handle: RePEc:cep:cepdps:dp0920

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Related research
Keywords: Trade union; firm performance; France; Britain;

Other versions of this item:

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
L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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References listed on IDEAS
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  1. Brown , W. & Bryson , A. & Forth , J., 2008. "Competition and the Retreat from Collective Bargaining," Cambridge Working Papers in Economics 0831, Faculty of Economics, University of Cambridge. [Downloadable!]
    Other versions:
  2. Hirsch, Barry T., 2003. "What Do Unions Do for Economic Performance?," IZA Discussion Papers 892, Institute for the Study of Labor (IZA). [Downloadable!]
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  3. Stewart, Mark B, 1987. "Collective Bargaining Arrangements, Closed Shops and Relative Pay," Economic Journal, Royal Economic Society, vol. 97(385), pages 140-56, March. [Downloadable!] (restricted)
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  4. Addison, John T & Hirsch, Barry T, 1989. "Union Effects on Productivity, Profits, and Growth: Has the Long Run Arrived?," Journal of Labor Economics, University of Chicago Press, vol. 7(1), pages 72-105, January. [Downloadable!] (restricted)
  5. Forth, John & Millward, Neil, 2002. "Union effects on pay levels in Britain," Labour Economics, Elsevier, vol. 9(4), pages 547-561, September. [Downloadable!] (restricted)
  6. Stephen Machin, 2000. "Union Decline in Britain," British Journal of Industrial Relations, Blackwell Publishers Ltd/London School of Economics, vol. 38(4), pages 631-645, December. [Downloadable!] (restricted)
  7. Paula B. Voos, 1987. "Managerial perceptions of the economic impact of labor relations programs," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 40(2), pages 195-208, January.
  8. Freeman, Richard B & Medoff, James L, 1981. "The Impact of the Percentage Organized on Union and Nonunion Wages," The Review of Economics and Statistics, MIT Press, vol. 63(4), pages 561-72, November. [Downloadable!] (restricted)
  9. Machin, Stephen J & Stewart, Mark B, 1990. "Unions and the Financial Performance of British Private Sector Establishments," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 5(4), pages 327-50, Oct.-Dec.. [Downloadable!] (restricted)
  10. Edward J. Schumacher, 1999. "What Explains Wage Differences Between Union Members and Covered Nonmembers?," Southern Economic Journal, Southern Economic Association, vol. 65(3), pages 493-512, January.
  11. Anne Hawke & Mark Wooden, 1997. "The 1995 Australian Workplace Industrial Relations Survey," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 30(3), pages 323-328. [Downloadable!] (restricted)
  12. Machin, Stephen & Stewart, Mark, 1996. "Trade Unions and Financial Performance," Oxford Economic Papers, Oxford University Press, vol. 48(2), pages 213-41, April. [Downloadable!] (restricted)
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