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Workplace democracy and job flows

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  • Alves, Guillermo
  • Burdín, Gabriel
  • Dean, Andrés

Abstract

This paper investigates the relationship between workplace democracy and job flows by comparing the behavior of worker-managed firms (WMFs) and conventional firms (CFs). The empirical analysis relies on high frequency administrative firm-level panel data from Uruguay over the period April 1996–July 2009. The main findings of the paper are that (1) WMFs exhibit much more stable job dynamics than CFs; (2) both types of firms have decreasing in age and increasing in size gross job creation profiles; (3) there are heterogeneous employment regimes within WMFs: job creation and destruction rates are high for hired workers and very low for members. This paper contributes to the literature on the role of institutions in shaping job flows. Our results have important implications for the understanding of the allocative efficiency effects of worker participation.

Suggested Citation

  • Alves, Guillermo & Burdín, Gabriel & Dean, Andrés, 2016. "Workplace democracy and job flows," Journal of Comparative Economics, Elsevier, vol. 44(2), pages 258-271.
  • Handle: RePEc:eee:jcecon:v:44:y:2016:i:2:p:258-271
    DOI: 10.1016/j.jce.2015.09.001
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Musson, Anne & Rousselière, Damien, 2018. "Exploring the effect of crisis on cooperatives: A Bayesian performance analysis of French craftsmen cooperatives," Working Papers 279350, Institut National de la recherche Agronomique (INRA), Departement Sciences Sociales, Agriculture et Alimentation, Espace et Environnement (SAE2).
    2. repec:bla:annpce:v:89:y:2018:i:4:p:563-580 is not listed on IDEAS
    3. Marina Albanese & Cecilia Navarra & Ermanno Tortia, 2017. "Equilibrium unemployment as a worker insurance device: Worker insurance and wage setting in worker owned enterprises," DEM Working Papers 2017/09, Department of Economics and Management.
    4. repec:ags:polvaa:276370 is not listed on IDEAS
    5. Belloc, Filippo, 2017. "What deters labor-owned firm creation? Evidence from Italian manufacturing sectors," Journal of Comparative Economics, Elsevier, vol. 45(1), pages 139-153.
    6. repec:ebl:ecbull:eb-17-00591 is not listed on IDEAS
    7. Marina ALBANESE & Cecilia NAVARRA & Ermanno TORTIA, 2017. "Equilibrium unemployment as a worker insurance device: Wage setting in worker owned enterprises," CIRIEC Working Papers 1705, CIRIEC - Université de Liège.

    More about this item

    Keywords

    Job flows; Worker-managed firms;

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • J54 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Producer Cooperatives; Labor Managed Firms
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

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