IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Enterprise unions and downsizing in Japan before and after 1997

  • Noda, Tomohiko
  • Hirano, Daisuke
Registered author(s):

    The purpose of this paper is to examine whether enterprise unions in Japan have changed their attitude toward downsizing before and after 1997. Our empirical analysis reveals that the attitudes of enterprise unions toward downsizing have changed since 1997. Before 1997, firms with strong unions, i.e., those affiliated with the federation, were likely to maintain employment until firms experienced two consecutive years of losses/deficits. However, after 1997, these firms tended to implement downsizing actions before they suffered deficits. These results suggest that the changes in the stances of the unions brought about changes in employment adjustment behaviors. The change in unions’ attitudes after 1997 is interpreted as being caused by the “no-layoff policy,” which was strongly associated with priority on job security over profitability. Moreover, downsizing was implemented with the consent of union members, and the cooperative relationship between unions and the management was maintained.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.sciencedirect.com/science/article/pii/S088915831300004X
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Elsevier in its journal Journal of the Japanese and International Economies.

    Volume (Year): 28 (2013)
    Issue (Month): C ()
    Pages: 91-118

    as
    in new window

    Handle: RePEc:eee:jjieco:v:28:y:2013:i:c:p:91-118
    Contact details of provider: Web page: http://www.elsevier.com/locate/inca/622903

    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.:

    as in new window
    1. Morikawa, Masayuki, 2010. "Labor unions and productivity: An empirical analysis using Japanese firm-level data," Labour Economics, Elsevier, vol. 17(6), pages 1030-1037, December.
    2. Freeman, Richard B. & Rebick, Marcus E., 1989. "Crumbling pillar? Declining union density in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 3(4), pages 578-605, December.
    3. Abe, Naohito & Shimizutani, Satoshi, 2007. "Employment policy and corporate governance-- An empirical comparison of the stakeholder and the profit-maximization model," Journal of Comparative Economics, Elsevier, vol. 35(2), pages 346-368, June.
    4. Tirole, Jean, 2001. "Corporate Governance," Econometrica, Econometric Society, vol. 69(1), pages 1-35, January.
    5. Macleod, W.B. & Kanemoto, Y., 1990. "Firm Reputation And Self-Enforcing Labour Contracts," Cahiers de recherche 9026, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
    6. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, June.
    7. Abraham, Katharine G. & Houseman, Susan N., 1989. "Job security and work force adjustment: How different are U.S. and Japanese practices?," Journal of the Japanese and International Economies, Elsevier, vol. 3(4), pages 500-521, December.
    8. Holger M. Mueller & Thomas Philippon, 2011. "Family Firms and Labor Relations," American Economic Journal: Macroeconomics, American Economic Association, vol. 3(2), pages 218-45, April.
    9. Burgess, Simon & Knetter, Michael & Michelacci, Claudio, 2000. "Employment and Output Adjustment in the OECD: A Disaggregate Analysis of the Role of Job Security Provisions," Economica, London School of Economics and Political Science, vol. 67(267), pages 419-35, August.
    10. "Noda, Tomohiko", 2002. "Industrial Relations and the Negative Profit Model," Economic Review, Hitotsubashi University, vol. 53(1), pages 40-52, January.
    11. Izumida, Shigemi, 1998. "Management rights and distribution structure in Japanese firms," Japan and the World Economy, Elsevier, vol. 10(2), pages 135-156, April.
    12. Yamane, Linus, 1998. "The insider-outsider model and Japanese labor unions," Japan and the World Economy, Elsevier, vol. 10(2), pages 157-171, April.
    13. Weinstein David E., 1994. "United We Stand: Firms and Enterprise Unions in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 8(1), pages 53-71, March.
    14. Venkiteswaran N, . "Corporate Governance for Shareholder Value," IIMA Working Papers WP2000-07-01, Indian Institute of Management Ahmedabad, Research and Publication Department.
    15. Venkiteswaran N, . "Ethics, Values and Corporate Governance," IIMA Working Papers WP1997-08-01_01459, Indian Institute of Management Ahmedabad, Research and Publication Department.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eee:jjieco:v:28:y:2013:i:c:p:91-118. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.