IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp16588.html
   My bibliography  Save this paper

The Impact of Right-to-Work Laws on Long Hours and Work Schedules

Author

Listed:
  • Gihleb, Rania

    (University of Pittsburgh)

  • Giuntella, Osea

    (University of Pittsburgh)

  • Tan, Jian Qi

    (University of Pittsburgh)

Abstract

Unions play a crucial role in determining wages and employment outcomes. However, union bargaining power may also have important effects on non-pecuniary working conditions. We study the effects of right-to-work laws, which removed agency shop protection and weakened union powers on long hours and non-standard work schedules that may adversely affect workers' health and safety. We exploit variation in the timing of enactment across US states and compare workers in bordering counties across adopting states and states that did not adopt the laws yet. Using the stacked approach to difference-in-differences estimates proposed by Cengiz et al. (2019), we find evidence that right-to-work laws increased the share of workers working long hours by 6%, while there is little evidence of an impact on hourly wages. The effects on long hours are larger in more unionized sectors (i.e. construction, manufacturing, and transportation). While the likelihood of working non-standard hours increases for particular sectors (education and public administration), there is no evidence of a significant increase in the overall sample.

Suggested Citation

  • Gihleb, Rania & Giuntella, Osea & Tan, Jian Qi, 2023. "The Impact of Right-to-Work Laws on Long Hours and Work Schedules," IZA Discussion Papers 16588, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp16588
    as

    Download full text from publisher

    File URL: https://docs.iza.org/dp16588.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Callaway, Brantly & Collins, William J., 2018. "Unions, workers, and wages at the peak of the American labor movement," Explorations in Economic History, Elsevier, vol. 68(C), pages 95-118.
    2. David Card & Thomas Lemieux & W. Craig Riddell, 2020. "Unions and wage inequality: The roles of gender, skill and public sector employment," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 53(1), pages 140-173, February.
    3. Orley Ashenfelter & David Card & Henry Farber & Michael R. Ransom, 2022. "Monopsony in the Labor Market: New Empirical Results and New Public Policies," Journal of Human Resources, University of Wisconsin Press, vol. 57(S), pages 1-10.
    4. Henry S Farber & Daniel Herbst & Ilyana Kuziemko & Suresh Naidu, 2021. "Unions and Inequality over the Twentieth Century: New Evidence from Survey Data," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 136(3), pages 1325-1385.
    5. W. Robert Reed, 2003. "How Right-To-Work Laws Affect Wages," Journal of Labor Research, Transaction Publishers, vol. 24(4), pages 713-730, October.
    6. Brigham R. Frandsen, 2021. "The Surprising Impacts of Unionization: Evidence from Matched Employer-Employee Data," Journal of Labor Economics, University of Chicago Press, vol. 39(4), pages 861-894.
    7. Kevin Lang & Sumon Majumdar, 2004. "The Pricing Of Job Characteristics When Markets Do Not Clear: Theory And Policy Implications," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 45(4), pages 1111-1128, November.
    8. Ling Li & Shawn Rohlin & Perry Singleton, 2017. "Labor Unions and Occupational Safety: Event-Study Analysis Using Union Elections," Center for Policy Research Working Papers 205, Center for Policy Research, Maxwell School, Syracuse University.
    9. Alexandre Mas & Amanda Pallais, 2017. "Valuing Alternative Work Arrangements," American Economic Review, American Economic Association, vol. 107(12), pages 3722-3759, December.
    10. Giulia Giupponi, 2019. "When income effects are large: labor supply responses and the value of welfare transfers," CEP Discussion Papers dp1651, Centre for Economic Performance, LSE.
    11. Ellora Derenoncourt & Clemens Noelke & David Weil & Bledi Taska, 2021. "Spillover Effects from Voluntary Employer Minimum Wages," NBER Working Papers 29425, National Bureau of Economic Research, Inc.
    12. Mikhail Golosov & Michael Graber & Magne Mogstad & David Novgorodsky, 2021. "How Americans Respond to Idiosyncratic and Exogenous Changes in Household Wealth and Unearned Income," NBER Working Papers 29000, National Bureau of Economic Research, Inc.
    13. Dolton, Peter J., 2018. "Some Recent Developments in Labour Economics," National Institute Economic Review, National Institute of Economic and Social Research, vol. 246, pages 36-49, November.
    14. Timo Boppart & Per Krusell, 2020. "Labor Supply in the Past, Present, and Future: A Balanced-Growth Perspective," Journal of Political Economy, University of Chicago Press, vol. 128(1), pages 118-157.
    15. Malinowski, B. & Minkler, M. & Stock, L., 2015. "Labor unions: A public health institution," American Journal of Public Health, American Public Health Association, vol. 105(2), pages 261-271.
    16. Artz, Benjamin & Blanchflower, David G. & Bryson, Alex, 2022. "Unions increase job satisfaction in the United States," Journal of Economic Behavior & Organization, Elsevier, vol. 203(C), pages 173-188.
    17. Nicole M. Fortin & Thomas Lemieux & Neil Lloyd, 2021. "Labor Market Institutions and the Distribution of Wages: The Role of Spillover Effects," Journal of Labor Economics, University of Chicago Press, vol. 39(S2), pages 369-412.
    18. Charlene M. Kalenkoski & Donald J. Lacombe, 2006. "Right‐to‐Work Laws and Manufacturing Employment: The Importance of Spatial Dependence," Southern Economic Journal, John Wiley & Sons, vol. 73(2), pages 402-418, October.
    19. Kirill Borusyak & Xavier Jaravel & Jann Spiess, 2021. "Revisiting Event Study Designs: Robust and Efficient Estimation," Papers 2108.12419, arXiv.org, revised Jan 2024.
    20. Hagedorn, J. & Paras, C.A. & Greenwich, H. & Hagopian, A., 2016. "The role of labor unions in creating working conditions that promote public health," American Journal of Public Health, American Public Health Association, vol. 106(6), pages 989-995.
    21. Aaron Sojourner & Jooyoung Yang, 2022. "Effects of Union Certification on Workplace-Safety Enforcement: Regression-Discontinuity Evidence," ILR Review, Cornell University, ILR School, vol. 75(2), pages 373-401, March.
    22. John Maynard Keynes, 2010. "Economic Possibilities for Our Grandchildren," Palgrave Macmillan Books, in: Essays in Persuasion, chapter 2, pages 321-332, Palgrave Macmillan.
    23. Card, David, 1996. "The Effect of Unions on the Structure of Wages: A Longitudinal Analysis," Econometrica, Econometric Society, vol. 64(4), pages 957-979, July.
    24. Earle, John S & Pencavel, John, 1990. "Hours of Work and Trade Unionism," Journal of Labor Economics, University of Chicago Press, vol. 8(1), pages 150-174, January.
    25. David G. Blanchflower & Alex Bryson, 2020. "Now Unions Increase Job Satisfaction and Well-being," NBER Working Papers 27720, National Bureau of Economic Research, Inc.
    26. Callaway, Brantly & Sant’Anna, Pedro H.C., 2021. "Difference-in-Differences with multiple time periods," Journal of Econometrics, Elsevier, vol. 225(2), pages 200-230.
    27. Lea Cassar & Stephan Meier, 2018. "Nonmonetary Incentives and the Implications of Work as a Source of Meaning," Journal of Economic Perspectives, American Economic Association, vol. 32(3), pages 215-238, Summer.
    28. Alan Manning, 2021. "Monopsony in Labor Markets: A Review," ILR Review, Cornell University, ILR School, vol. 74(1), pages 3-26, January.
    29. David Card & Thomas Lemieux & W. Craig Riddell, 2004. "Unions and Wage Inequality," Journal of Labor Research, Transaction Publishers, vol. 25(4), pages 519-562, October.
    30. Ozkan Eren & Serkan Ozbeklik, 2016. "What Do Right‐to‐Work Laws Do? Evidence from a Synthetic Control Method Analysis," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 35(1), pages 173-194, January.
    31. Ellora Derenoncourt & Clemens Noelke & David Weil & Bledi Taska, 2021. "Spillover Effects from Voluntary Employer Minimum Wages," Working Papers 2021-1, Princeton University. Economics Department..
    32. David A. Matsa, 2010. "Capital Structure as a Strategic Variable: Evidence from Collective Bargaining," Journal of Finance, American Finance Association, vol. 65(3), pages 1197-1232, June.
    33. Wright, M.J., 2016. "The decline of American unions is a threat to public health," American Journal of Public Health, American Public Health Association, vol. 106(6), pages 968-969.
    34. Charlene M. Kalenkoski & Donald J. Lacombe, 2006. "Right-to-work Laws and Manufacturing Employment: The Importance of Spatial Dependence," Southern Economic Journal, John Wiley & Sons, vol. 73(2), pages 402-418, October.
    35. Doruk Cengiz & Arindrajit Dube & Attila Lindner & Ben Zipperer, 2019. "The Effect of Minimum Wages on Low-Wage Jobs," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 134(3), pages 1405-1454.
    36. Thomas J. Holmes, 1998. "The Effect of State Policies on the Location of Manufacturing: Evidence from State Borders," Journal of Political Economy, University of Chicago Press, vol. 106(4), pages 667-705, August.
    37. Ellwood, David T & Fine, Glenn, 1987. "The Impact of Right-to-Work Laws on Union Organizing," Journal of Political Economy, University of Chicago Press, vol. 95(2), pages 250-273, April.
    38. Erling Barth & Alex Bryson & Harald Dale-Olsen, 2020. "Union Density Effects on Productivity and Wages," The Economic Journal, Royal Economic Society, vol. 130(631), pages 1898-1936.
    39. William M. Boal & John Pencavel, 1994. "The Effects of Labor Unions on Employment, Wages, and Days of Operation: Coal Mining in West Virginia," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(1), pages 267-298.
    40. George J. Borjas, 1979. "Job Satisfaction, Wages, and Unions," Journal of Human Resources, University of Wisconsin Press, vol. 14(1), pages 21-40.
    41. Christos Andreas Makridis, 2019. "Do Right-to-Work Laws Work? Evidence on Individuals’ Well-Being and Economic Sentiment," Journal of Law and Economics, University of Chicago Press, vol. 62(4), pages 713-745.
    42. Allard Dembe, 2009. "Ethical Issues Relating to the Health Effects of Long Working Hours," Journal of Business Ethics, Springer, vol. 84(2), pages 195-208, January.
    43. Trejo, Stephen J, 1993. "Overtime Pay, Overtime Hours, and Labor Unions," Journal of Labor Economics, University of Chicago Press, vol. 11(2), pages 253-278, April.
    44. Strazdins, Lyndall & Korda, Rosemary J. & Lim, Lynette L-Y. & Broom, Dorothy H. & D'Souza, Rennie M., 2004. "Around-the-clock: parent work schedules and children's well-being in a 24-h economy," Social Science & Medicine, Elsevier, vol. 59(7), pages 1517-1527, October.
    45. Chava, Sudheer & Danis, András & Hsu, Alex, 2020. "The economic impact of right-to-work laws: Evidence from collective bargaining agreements and corporate policies," Journal of Financial Economics, Elsevier, vol. 137(2), pages 451-469.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nguyen, Justin Hung & Qiu, Buhui, 2022. "Right-to-Work laws and corporate innovation," Journal of Corporate Finance, Elsevier, vol. 76(C).
    2. Dami'an Vergara, 2022. "Minimum Wages and Optimal Redistribution," Papers 2202.00839, arXiv.org, revised Dec 2022.
    3. Demir, Gökay, 2023. "Labor Market Frictions and Spillover Effects from Publicly Announced Sectoral Minimum Wages," IZA Discussion Papers 16204, Institute of Labor Economics (IZA).
    4. Demir, Gökay, 2022. "Labor market frictions and spillover effects from publicly announced sectoral minimum wages," Ruhr Economic Papers 985, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    5. Kyung-nok Chun, 2023. "What do Right-to-Work Laws do to Unions? Evidence from Six Recently-Enacted RTW Laws," Journal of Labor Research, Springer, vol. 44(1), pages 94-144, June.
    6. Gregory, Terry & Zierahn, Ulrich, 2022. "When the minimum wage really bites hard: The negative spillover effect on high-skilled workers," Journal of Public Economics, Elsevier, vol. 206(C).
    7. Guillaume Gueguen & Claudia Senik, 2023. "Adopting telework: The causal impact of working from home on subjective well‐being," British Journal of Industrial Relations, London School of Economics, vol. 61(4), pages 832-868, December.
    8. Nikhil Datta, 2023. "The measure of monopsony: the labour supply elasticity to the firm and its constituents," CEP Discussion Papers dp1930, Centre for Economic Performance, LSE.
    9. Datta, Nikhil, 2023. "The measure of monopsony: the labour supply elasticity to the firm and its constituents," LSE Research Online Documents on Economics 121312, London School of Economics and Political Science, LSE Library.
    10. R. Alison Felix & James R. Hines, 2022. "Corporate taxes and union wages in the United States," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 29(6), pages 1450-1494, December.
    11. Jeffrey Clemens & Michael R. Strain, 2020. "Public Policy and Participation in Political Interest Groups: An Analysis of Minimum Wages, Labor Unions, and Effective Advocacy," NBER Working Papers 27902, National Bureau of Economic Research, Inc.
    12. Dodini, Samuel & Stansbury, Anna & Willén, Alexander, 2023. "How Do Firms Respond to Unions?," IZA Discussion Papers 16697, Institute of Labor Economics (IZA).
    13. Corradini, Viola & Lagos, Lorenzo & Sharma, Garima, 2022. "Collective Bargaining for Women: How Unions Can Create Female-Friendly Jobs," IZA Discussion Papers 15552, Institute of Labor Economics (IZA).
    14. Calderón, Mariana & Cortés, Josué & Pérez Pérez, Jorge & Salcedo, Alejandrina, 2023. "Disentangling the Effects of Large Minimum Wage and VAT Changes on Prices: Evidence from Mexico," Labour Economics, Elsevier, vol. 80(C).
    15. Bas Scheer & Wiljan van den Berge & Maarten Goos & Alan Manning & Anna Salomons, 2022. "Alternative Work Arrangements and Worker Outcomes: Evidence from Payrolling," CPB Discussion Paper 435, CPB Netherlands Bureau for Economic Policy Analysis.
    16. Samuel Dodini & Kjell G. Salvanes & Alexander Willén & Li Zhu & Alexander L.P. Willén, 2023. "The Career Effects of Union Membership," CESifo Working Paper Series 10469, CESifo.
    17. Desiere, Sam & Walter, Christian, 2023. "The Shift Premium: Evidence from a Discrete Choice Experiment," IZA Discussion Papers 16460, Institute of Labor Economics (IZA).
    18. repec:ilr:articl:v:65:y:2012:i:2:p:263-285 is not listed on IDEAS
    19. Cyprien Batut & Ulysse Lojkine & Paolo Santini, 2021. "Which side are you on? A historical perspective on union membership composition in four European countries," Working Papers halshs-03364022, HAL.
    20. Pierre Brochu & Louis-Philippe Morin, 2011. "Union Membership and Perceived Job Insecurity: 30 Years of Evidence from the American General social Survey," Working Papers 1106E, University of Ottawa, Department of Economics.
    21. Biasi, Barbara & Sarsons, Heather, 2020. "Flexible Wages, Bargaining, and the Gender Gap," IZA Discussion Papers 13754, Institute of Labor Economics (IZA).

    More about this item

    Keywords

    unions; working conditions; workers' health;
    All these keywords.

    JEL classification:

    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
    • I10 - Health, Education, and Welfare - - Health - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp16588. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Holger Hinte (email available below). General contact details of provider: https://edirc.repec.org/data/izaaade.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.