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Pay-setting Systems in Europe: On-going Development and Possible Reforms

  • Lars Calmfors
  • Giancarlo Corsetti
  • Seppo Honkapohja
  • John Kay
  • Willi Leibfritz
  • Gilles Saint-Paul
  • Hans-Werner Sinn
  • Xavier Vives

This chapter analyses current pay-setting arrangements in Europe as well as the prospect of reform. It reviews the positive experience of many small European countries that have achieved real wage moderation through co-ordinated collective bargaining as well as the experience of countries where the achievements of collective bargaining are arguably much less positive. In either case, European countries would benefit from more diversity in relative wages.

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Article provided by CESifo Group Munich in its journal EEAG Report on the European Economy.

Volume (Year): (2004)
Issue (Month): (October)
Pages: 61-83

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Handle: RePEc:ces:eeagre:v::y:2004:i::p:61-83
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