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Why so Unhappy? The Effects of Unionisation on Job Satisfaction

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Author Info

  • Alex Bryson
  • Lorenzo Cappellari
  • Claudio Lucifora

Abstract

We use linked employer-employee data to investigate the job satisfaction effect of unionisation in Britain. We depart from previous studies by developing a model that simultaneously controls for the endogeneity of union membership and union recognition. We show that a negative association between membership and satisfaction only emerges where there is a union recognised for bargaining, and that such an effect vanishes when the simultaneous selection into membership and recognition is taken into account. We also show that ignoring endogenous recognition would lead to conclude that membership has a positive effect on satisfaction. Our estimates indicate that the unobserved factors that lead to sorting across workplaces are negatively related to the ones determining membership and positively related with those generating satisfaction, a result that we interpret as being consistent with the existence of queues for union jobs.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2005/wp-cesifo-2005-03/cesifo1_wp1419.pdf
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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1419.

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Date of creation: 2005
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Handle: RePEc:ces:ceswps:_1419

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Keywords: job satisfaction; union membership; union recognition; endogeneity;

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References

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  1. Clark, A.E., 1995. "Job Satisfaction and Gender: Why Are Women so Happy at Work?," DELTA Working Papers 95-10, DELTA (Ecole normale supérieure).
  2. Alex Bryson & Rafael Gomez, 2003. "Segmentation, Switching Costs and the Demand for Unionization in Britain," CEP Discussion Papers dp0568, Centre for Economic Performance, LSE.
  3. John M. Abowd & Henry S. Farber, 1982. "Job queues and the union status of workers," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 35(3), pages 354-367, April.
  4. Alex Bryson & Lorenzo Cappellari & Claudio Lucifora, 2003. "Does Union Membership Really Reduce Job Satisfaction?," CEP Discussion Papers dp0569, Centre for Economic Performance, LSE.
  5. Booth, Alison L & Bryan, Mark L, 2001. "The Union Membership Wage Premium Puzzle: Is There A Free-Rider Problem?," CEPR Discussion Papers 2879, C.E.P.R. Discussion Papers.
  6. Dan A. Black & Jeffrey Smith, 2003. "How Robust is the Evidence on the Effects of College Quality? Evidence From Matching," University of Western Ontario, CIBC Centre for Human Capital and Productivity Working Papers 20033, University of Western Ontario, CIBC Centre for Human Capital and Productivity.
  7. Susan Schwochau, 1987. "Union effects on job attitudes," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 40(2), pages 209-224, January.
  8. Michael E. Gordon & Angelo S. Denisi, 1995. "A re-examination of the relationship between union membership and job satisfaction," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 48(2), pages 222-236, January.
  9. Keith A. Bender & Peter J. Sloane, 1998. "Job satisfaction, trade unions, and exit-voice revisited," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 51(2), pages 222-240, January.
  10. repec:ese:iserwp:2001-09 is not listed on IDEAS
  11. Joni Hersch & Joe A. Stone, 1990. "Is Union Job Dissatisfaction Real?," Journal of Human Resources, University of Wisconsin Press, vol. 25(4).
  12. George J. Borjas, 1979. "Job Satisfaction, Wages, and Unions," Journal of Human Resources, University of Wisconsin Press, vol. 14(1), pages 21-40.
  13. John S. Heywood & W. S. Siebert & Xiangdong Wei, 2002. "Worker sorting and job satisfaction: The case of union and government jobs," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 55(4), pages 595-609, July.
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Citations

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Cited by:
  1. repec:ese:iserwp:2008-30 is not listed on IDEAS
  2. Fiorillo, Damiano & Nappo, Nunzia, 2011. "Job satisfaction in Italy: individual characteristics and social relations," MPRA Paper 31133, University Library of Munich, Germany.
  3. Benjamin Artz, 2008. "Fringe Benefits and Job Satisfaction," Working Papers 08-03, UW-Whitewater, Department of Economics.
  4. Benjamin Artz, 2010. "Fringe benefits and job satisfaction," International Journal of Manpower, Emerald Group Publishing, vol. 31(6), pages 626-644, September.
  5. Dr Alex Bryson, 2009. "How Does Innovation Affect Worker Wellbeing?," NIESR Discussion Papers 2491, National Institute of Economic and Social Research.
  6. Alex Bryson & Richard Freeman, 2013. "Employee Perceptions of Working Conditions and the Desire for Worker Representation in Britain and the US," Journal of Labor Research, Springer, vol. 34(1), pages 1-29, March.
  7. Christine Erhel & Lucie Davoine, 2007. "La qualité de l'emploi en Europe : une approche comparative et dynamique," Économie et Statistique, Programme National Persée, vol. 410(1), pages 47-69.
  8. Haile, Getinet Astatike & Bryson, Alex & White, Michael, 2012. "Heterogeneity in Union Status and Employee Well-Being," IZA Discussion Papers 7075, Institute for the Study of Labor (IZA).
  9. Haile, Getinet Astatike, 2009. "Workplace Job Satisfaction in Britain: Evidence from Linked Employer-Employee Data," IZA Discussion Papers 4101, Institute for the Study of Labor (IZA).
  10. repec:lan:wpaper:3161 is not listed on IDEAS
  11. repec:lan:wpaper:2912 is not listed on IDEAS
  12. C Green & J S Heywood, 2010. "Unions, Dissatisfied Workers and Sorting," Working Papers 615292, Lancaster University Management School, Economics Department.
  13. repec:lan:wpaper:2914 is not listed on IDEAS

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