Why Do Voice Regimes Differ?
In this paper we seek to explain the emergence of different voice regimes, and to do so by using approaches from institutional economics. In particular we analyse the emergence of different voice regimes as a contracting problem; a ¿make¿ or ¿buy¿ decision on the part of the employer. A unique feature of the model is that the firm, having chosen its particular employee management regime, faces switching costs if it attempts to alter its original make or buy decision. A particular dimension of the employee management regime decision is the use of the union as agent or supplier of voice, or elements thereof. We argue that there are circumstances in which the employer may, on grounds of cost or risk, seek to subcontract aspects of the management of labour to a union and, further, that this (along with the presence of switching costs) helps explain the continued recognition of trade unions in many firms. In other circumstances, however, the employer may seek to construct voice mechanisms without union involvement. Workplace data from Britain are used to test these and other implications of the model.
|Date of creation:||Nov 2003|
|Contact details of provider:|| Web page: http://cep.lse.ac.uk/_new/publications/series.asp?prog=CEP|
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.:
- Stephen Machin, 2000.
"Union decline in Britain,"
LSE Research Online Documents on Economics
20191, London School of Economics and Political Science, LSE Library.
- David Blanchflower & Alex Bryson, 2002. "Changes over time in union relative wage effects in the UK and the US revisited," NBER Working Papers 9395, National Bureau of Economic Research, Inc.
- Paul Willman, 2001. "The Viability of Trade Union Organization: A Bargaining Unit Analysis," British Journal of Industrial Relations, London School of Economics, vol. 39(1), pages 97-117, 03.
- Willman, Paul, 1982. "Opportunism in labour contracting : An application of the `organisational failures' framework," Journal of Economic Behavior & Organization, Elsevier, vol. 3(1), pages 83-98, March.
- Dirk Willem te Velde, 2003. "Foreign Ownership, Microelectronic Technology and Skills: Evidence for British Establishments," National Institute Economic Review, National Institute of Economic and Social Research, vol. 185(1), pages 93-106, July.
- Henry S. Farber & Bruce Western, 2002. "Ronald Reagan and the Politics of Declining Union Organization," British Journal of Industrial Relations, London School of Economics, vol. 40(3), pages 385-401, 09.
When requesting a correction, please mention this item's handle: RePEc:cep:cepdps:dp0591. 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: ()
If references are entirely missing, you can add them using this form.