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Estimating the Relationship Between Labour Market Tightness, Unemployment Insurance Benefits, and Union Election Activity

Author

Listed:
  • Robert Baumann

    (Department of Economics, College of the Holy Cross)

  • Bryan Engelhardt

    (Department of Economics, University of Wisconsin - Oshkosh)

  • David L. Fuller

    (Department of Economics, University of Wisconsin - Oshkosh)

  • M. Ryan Haley

    (Department of Economics, University of Wisconsin - Oshkosh)

Abstract

Using detailed data from the US National Labor Relations Board, we find labour market tightness, defined as the ratio of job vacancies to the number of unemployed, has a positive relationship with the likelihood of voting in favour of union representation. Specifically, a 1 SD increase in labour market tightness increases Vote Share in favour and the likelihood of union certification by roughly 1.5% and 3%, respectively. We also find that length of unemployment insurance benefits has a positive relationship with Vote Share in favour. Taken together, these results suggest that workers are more comfortable engaging in pro-union election behaviours when exogenous conditions, like labour market tightness and unemployment insurance benefit duration, shift in a way that more favourably insulates them from unemployment and income risk.

Suggested Citation

  • Robert Baumann & Bryan Engelhardt & David L. Fuller & M. Ryan Haley, 2016. "Estimating the Relationship Between Labour Market Tightness, Unemployment Insurance Benefits, and Union Election Activity," Working Papers 1609, College of the Holy Cross, Department of Economics.
    • Handle: RePEc:hcx:wpaper:1609
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    File URL: https://www.tandfonline.com/doi/full/10.1080/13504851.2017.1321834
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