This paper investigates the influence of industry-wide collective contracts and individual contracts on the gender wage gap using the Salary and Wage Structure Survey for Lower Saxony, Germany. Women in particular appear to benefit from employment in firms applying industry-wide collective contracts. Thus, in 2006 women under collective bargaining coverage could reach on average a hypothetical wage that is equal to 82 percent of their actual wage if they would work under individual contracts, while men working in establishments applying sectoral collective contracts could get 87 percent of their actual wage then. Therefore, the observed considerable decline of collective bargaining coverage is particularly disadvantageous for women.
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Find related papers by JEL classification: J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects J52 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Dispute Resolution: Strikes, Arbitration, and Mediation
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Johannes Gernandt & Friedhelm Pfeiffer, 2007.
"Rising Wage Inequality in Germany,"
SOEPpapers
14, DIW Berlin, The German Socio-Economic Panel (SOEP).
[Downloadable!]
Other versions:
Gernandt, Johannes & Pfeiffer, Friedhelm, 2006.
"Rising Wage Inequality in Germany,"
ZEW Discussion Papers
06-19 [rev.], ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
[Downloadable!]
Pfeiffer, Friedhelm & Gernandt, Johannes, 2007.
"Rising Wage Inequality in Germany,"
ZEW Discussion Papers
06-019 [rev.2], ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
[Downloadable!]
Gernandt, Johannes & Pfeiffer, Friedhelm, 2006.
"Rising Wage Inequality in Germany,"
ZEW Discussion Papers
06-19, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
[Downloadable!]