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Workers Made Idle by Company Strikes and the 'British Disease'

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Author Info
Hart, Robert A. () (University of Stirling)

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Abstract

The strikes' literature is dominated by the causes and effects of strike action as they relate directly to strikers themselves. This paper considers another important group of affected workers – those individuals incidentally made idle as a result of the strike action of others. Using a unique data set of the British Engineering Employers' Federation (EEF), it examines the years 1960 to 1970, a critical period in Britain's postwar strikes’ history. The mid-point of this decade marked the start of the era of the 'British Disease', a universally adopted title given to Britain's perceived international leadership in strikes incidence and industrial unrest. Workers made idle were an important symptom of the disease. In the study here, they accounted for 72% of days lost in disputes in which they were involved and 44% of total days lost in all disputes. Consideration is given to the likely causes of these incidental layoffs within 7130 strikes of EEF federated firms covering engineering, automotive and metal industries. Particular attention is given to the British car industry, accounting for 22% of total EEF strikes during the period of study. The regression analysis examines the causes of workers being made idle with explanatory variables covering labour market conditions, strikes durations, pay issues, non-pay issues. The regressions also control for company, union, geographical districts, annual and seasonal fixed effects.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4248.

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Length: 34 pages
Date of creation: Jun 2009
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Handle: RePEc:iza:izadps:dp4248

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Related research
Keywords: strikes; workers made idle; pay disputes; non-pay disputes;

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Find related papers by JEL classification:
J52 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Dispute Resolution: Strikes, Arbitration, and Mediation
L61 - Industrial Organization - - Industry Studies: Manufacturing - - - Metals and Metal Products; Cement; Glass; Ceramics
L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment

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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. Paul J. Devereux, 2001. "The Cyclicality of real wages within employer-employee matches," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 54(4), pages 835-850, July.
  2. Devereux, Paul J. & Hart, Robert A., 2008. "A Good Time to Stay Out? Strikes and the Business Cycle," Stirling Economics Discussion Papers 2008-12, University of Stirling, Department of Economics. [Downloadable!]
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This page was last updated on 2009-11-9.

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