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Are Pro-Reformers Better Performers?

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Author Info
Tim R.L. Fry () (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)
Kelly Jarvis () (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)
Joanne Loundes () (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

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Abstract

There appears to be widespread consensus in industry and government that a switch from centralized bargaining to an enterprise based system benefits productivity. However, research suggests that the link between bargaining structures and worker productivity is dubious and that empirical research has been unable to discover a relationship between them. In this paper we use data from Australian companies at the enterprise level and examine the links between performance and a range of human resources, industrial relations and management variables to determine whether bargaining structures do impact on performance. In particular, we investigate whether organisations that have incorporated aspects of the industrial relations reform agenda have outperformed organisations that have not. The results from the application of a treatment effects regression model show evidence that organisations adopting the industrial relations reform agenda report significantly higher levels of self-assessed labour productivity relative to their competitors, even after controlling for a number of different factors.

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Publisher Info
Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2002n18.

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Length: 28 pages
Date of creation: Sep 2002
Date of revision:
Handle: RePEc:iae:iaewps:wp2002n18

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Find related papers by JEL classification:
J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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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.:
  1. Hall, Bronwyn H. & Mairesse, Jacques, 1995. "Exploring the relationship between R&D and productivity in French manufacturing firms," Journal of Econometrics, Elsevier, vol. 65(1), pages 263-293, January. [Downloadable!] (restricted)
    Other versions:
  2. Cable, John & Wilson, Nicholas, 1990. "Profit-Sharing and Productivity: Some Further Evidence," Economic Journal, Royal Economic Society, vol. 100(401), pages 550-55, June. [Downloadable!] (restricted)
  3. Sandra E. Black & Lisa M. Lynch, 1997. "How to Compete: The Impact of Workplace Practices and Information Technology on Productivity," NBER Working Papers 6120, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  4. Guyonne Kalb & Jenny Williams, 2002. "Industrial Relations Reform and Business Performance: An Introduction," Melbourne Institute Working Paper Series wp2002n04, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
  5. Eric J. Bartelsman & Mark Doms, 2000. "Understanding Productivity: Lessons from Longitudinal Microdata," Journal of Economic Literature, American Economic Association, vol. 38(3), pages 569-594, September. [Downloadable!] (restricted)
    Other versions:
  6. Cable, John & Wilson, Nicholas, 1989. "Profit-Sharing and Productivity: An Analysis of UK Engineering Firms," Economic Journal, Royal Economic Society, vol. 99(396), pages 366-75, June. [Downloadable!] (restricted)
  7. Milgrom, Paul & Roberts, John, 1995. "Complementarities and fit strategy, structure, and organizational change in manufacturing," Journal of Accounting and Economics, Elsevier, vol. 19(2-3), pages 179-208, April. [Downloadable!] (restricted)
  8. Jorgenson, Dale W & Fraumeni, Barbara M, 1992. " Investment in Education and U.S. Economic Growth," Scandinavian Journal of Economics, Blackwell Publishing, vol. 94(0), pages S51-70, Supplemen.
  9. 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.
  10. Mark Wooden & Joanne Loundes, 2002. "Industrial Relations Reform and Business Performance: An Introduction," Melbourne Institute Working Paper Series wp2002n01, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
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  11. M. Ishaq Nadiri, 1993. "Innovations and Technological Spillovers," NBER Working Papers 4423, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  12. Wadhwani, Sushil & Wall, Martin, 1990. "The Effects of Profit-Sharing on Employment, Wages, Stock Returns and Productivity: Evidence from UK Micro-data," Economic Journal, Royal Economic Society, vol. 100(399), pages 1-17, March.
    Other versions:
  13. William N. Cooke, 1990. "Factors influencing the effect of joint union-management programs on employee-supervisor relations," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 43(5), pages 587-603, July.
  14. Kruse, Douglas L, 1992. "Profit Sharing and Productivity: Microeconomic Evidence from the United States," Economic Journal, Royal Economic Society, vol. 102(410), pages 24-36, January. [Downloadable!] (restricted)
  15. Nadiri, M.I., 1993. "Innovations and Technological Spillovers," Working Papers 93-31, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
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(explanations, 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.)

  1. Tim Fry & Kelly Jarvis & Joanne Loundes, 2003. "Industrial Relations Reform at the Enterprise and Workplace," Melbourne Institute Working Paper Series wp2003n07, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
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