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Wage distributions by wage-setting regime

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Author Info

  • Gerlach, Knut
  • Stephan, Gesine

    ()
    (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])

Abstract

"Collective wage contracts impose restrictions on wage-setting. We utilize German linked employer-employee data for blue-collar worker to compute the dispersion of wages and wage components within and across firms under three different wage-setting regimes: Establishments applying sectoral collective contracts, establishments with firm-level contracts and uncovered establishments. The empirical analysis confirms a lower dispersion of wages and wage components for firms applying sectoral collective contracts compared to companies in the other two wage-setting regimes. Implications for policy are discussed." (Author's abstract, IAB-Doku) ((en))

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Bibliographic Info

Paper provided by Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] in its series IAB Discussion Paper with number 200509.

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Length: 30 pages
Date of creation: 11 Apr 2005
Date of revision:
Publication status: published as: Bargaining regimes and wage dispersion. In: Jahrbücher für Nationalökonomie und Statistik, Bd. 226, H. 6 (2006)
Handle: RePEc:iab:iabdpa:200509

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Related research

Keywords: Lohnstruktur; Tarifvertrag; Firmentarifvertrag; Tarifbindung;

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References

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  1. Hartog, Joop & Leuven, Edwin & Teulings, Coen, 2002. "Wages and the bargaining regime in a corporatist setting: the Netherlands," European Journal of Political Economy, Elsevier, vol. 18(2), pages 317-331, June.
  2. Franz, Wolfgang & Pfeiffer, Friedhelm, 2001. "Tarifbindung und die ökonomische Rationalität von Lohnrigiditäten," ZEW Discussion Papers 01-01, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  3. Gesine Stephan, 2002. "Employer Wage Differentials in Germany: A Comparative Note," LABOUR, CEIS, vol. 16(3), pages 491-512, 09.
  4. Katz, Lawrence F. & Autor, David H., 1999. "Changes in the wage structure and earnings inequality," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 26, pages 1463-1555 Elsevier.
  5. Heywood, John S & Hubler, Olaf & Jirjahn, Uwe, 1998. "Variable Payment Schemes and Industrial Relations: Evidence from Germany," Kyklos, Wiley Blackwell, vol. 51(2), pages 237-57.
  6. Hamermesh, Daniel S., 1999. "LEEping into the future of labor economics: the research potential of linking employer and employee data," Labour Economics, Elsevier, vol. 6(1), pages 25-41, March.
  7. Richard B. Freeman, 1981. "Union Wage Practices and Wage Dispersion within Establishments," NBER Working Papers 0752, National Bureau of Economic Research, Inc.
  8. Lindbeck, Assar & Snower, Dennis J., 2001. "Centralized bargaining and reorganized work: Are they compatible?," European Economic Review, Elsevier, vol. 45(10), pages 1851-1875, December.
  9. Lee, Lung-Fei, 1983. "Generalized Econometric Models with Selectivity," Econometrica, Econometric Society, vol. 51(2), pages 507-12, March.
  10. Olaf H¸bler & Uwe Jirjahn, 2003. "Works Councils and Collective Bargaining in Germany: The Impact on Productivity and Wages," Scottish Journal of Political Economy, Scottish Economic Society, vol. 50(4), pages 471-491, 09.
  11. Schlicht, Ekkehart, 2002. "Hiring Standards and Market Clearing," IZA Discussion Papers 481, Institute for the Study of Labor (IZA).
  12. Lemieux, Thomas, 1998. "Estimating the Effects of Unions on Wage Inequality in a Panel Data Model with Comparative Advantage and Nonrandom Selection," Journal of Labor Economics, University of Chicago Press, vol. 16(2), pages 261-91, April.
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Citations

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Cited by:
  1. Wolf Dieter Heinbach, 2006. "Bargained Wages in Decentralized Wage-Setting Regimes," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 276/2005, Department of Economics, University of Hohenheim, Germany.
  2. McGuinness, Seamus & Kelly, Elish & O'Connell, Philip J., 2008. "The Impact of Wage Bargaining Regime on Firm-Level Competitiveness and Wage Inequality: The Case of Ireland," Papers WP266, Economic and Social Research Institute (ESRI).
  3. Eichhorst, Werner & Kaiser, Lutz C., 2006. "The German Labor Market: Still Adjusting Badly?," IZA Discussion Papers 2215, Institute for the Study of Labor (IZA).
  4. Amend, Elke & Herbst, Patrick, 2008. "Labor market pooling and human capital investment decisions," IAB Discussion Paper 200804, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  5. Gerlach, Knut & Stephan, Gesine, 2005. "Tarifverträge und betriebliche Entlohnungsstrukturen," IAB Discussion Paper 200520, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  6. Schlicht, Ekkehart, 2008. "Lohnspreizung und Effizienz," Discussion Papers in Economics 2117, University of Munich, Department of Economics.

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