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Unions and Employment in Uruguay

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  • Cassoni, Adriana
  • Allen, Steven G.
  • Labadie, Gastón J.

Abstract

This study examines the impact of unions on wages and employment using data from Uruguay in a period when unions were banned (1973-1984), then legalized with tripartite bargaining (1984-1991) followed by industry-wide or firm-specific bargaining (1992-1997). The paper begins with background on the economy, the labor market, and collective bargaining in Uruguay (Section II), followed by a brief theoretical overview on unions and labor demand (Section III) and a description of the data (Section IV). The labor demand results (Section V) indicate a structural shift in the labor demand function occurred at about the same time as the return of collective bargaining.

Suggested Citation

  • Cassoni, Adriana & Allen, Steven G. & Labadie, Gastón J., 2011. "Unions and Employment in Uruguay," IDB Publications (Working Papers) 3265, Inter-American Development Bank.
  • Handle: RePEc:idb:brikps:3265
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    Cited by:

    1. Freeman, Richard B., 2010. "Labor Regulations, Unions, and Social Protection in Developing Countries," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4657-4702, Elsevier.
    2. Carlos A. Arango & Ángela Milena Rojas, 2003. "Demanda laboral y reforma comercial en el sector manufacturero colombiano: 1977-1999," Revista ESPE - Ensayos sobre Política Económica, Banco de la Republica de Colombia, vol. 21(44), pages 96-154, December.
    3. Mariano Tommasi & Silvana Tenreyro, 2001. "Comments on Dani Rodrik's "Why Is There So Much Economic Insecurity in Latin America?"," Working Papers 28, Universidad de San Andres, Departamento de Economia, revised Mar 2001.
    4. Richard B. Freeman, 2009. "Labor Regulations, Unions, and Social Protection in Developing Countries: Market distortions or Efficient Institutions?," NBER Working Papers 14789, National Bureau of Economic Research, Inc.
    5. A. Cassoni & G. Fachola & G. Labadie, 2001. "The impact of unions on the economic performance of firms," Documentos de Trabajo (working papers) 1501, Department of Economics - dECON.
    6. Lichter, Andreas & Peichl, Andreas & Siegloch, Sebastian, 2015. "The own-wage elasticity of labor demand: A meta-regression analysis," European Economic Review, Elsevier, vol. 80(C), pages 94-119.
    7. Fernando Rios-Avila, 2017. "Unions and Economic Performance in Developing Countries: Case Studies from Latin America," Revista Ecos de Economía, Universidad EAFIT, vol. 21(44), pages 4-36, June.
    8. Adriana Cassoni & Gaston J. Labadie & Gabriela Fachola, 2002. "The Economic Effects of Unions in Latin America: Their Impact on Wages and the Economic Performance of Firms in Uruguay," Research Department Publications 3159, Inter-American Development Bank, Research Department.
    9. Carlos Arango Arango & Angela Milena Rojas, 2003. "Demanda Laboral en el Sector Manufacturero COlombiano: 1977-1999," Borradores de Economia 247, Banco de la Republica de Colombia.
    10. Daniel Miles & Máximo Rossi, 2001. "Wage Inequality in Developing Countries: Market Forces or Government Intervention," Documentos de Trabajo (working papers) 1001, Department of Economics - dECON.
    11. Jaime Saavedra-Chanduví & Máximo Torero, 2002. "Union Density Changes and Union Effects On Firm Performance in Peru," Research Department Publications 3158, Inter-American Development Bank, Research Department.
    12. Fajnzylber, Pablo & Maloney, William F., 2005. "Labor demand and trade reform in Latin America," Journal of International Economics, Elsevier, vol. 66(2), pages 423-446, July.
    13. Mauricio Zunino, 2012. "Impactos de la reinstauración de los Consejos de Salarios sobre la distribución salarial en Uruguay," Económica, Departamento de Economía, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 0, pages 129-167, January-D.
    14. Adriana Cassoni, 1999. "The wage elasticity of labour demand in the Uruguayan manufacturing sector after re-unionisation: new results," Documentos de Trabajo (working papers) 1499, Department of Economics - dECON.
    15. Jairo Guillermo Isaza Castro & Carlos Arturo Meza Carvajalino, 2004. "La demanda de trabajo:Aspectos teóricos y evidencia empírica para Colombia," Serie de Documentos en Economía y Violencia 002965, Centro de Investigaciones en Violencia, Instituciones y Desarrollo Económico (VIDE).
    16. Ben Salha, Ousama, 2013. "Does economic globalization affect the level and volatility of labor demand by skill? New insights from the Tunisian manufacturing industries," Economic Systems, Elsevier, vol. 37(4), pages 572-597.
    17. Giuseppe Bertola, 2005. "Distribution, Efficiency, and Labor Market Regulation: in Theory, in OECD Countries, and in Latin America," Central Banking, Analysis, and Economic Policies Book Series, in: Jorge Restrepo & Andrea Tokman R. & Norman Loayza (Series Editor) & Klaus Schmidt-Hebbel (Series Edi (ed.),Labor Markets and Institutions, edition 1, volume 8, chapter 2, pages 017-060, Central Bank of Chile.
    18. Daniel S. Hamermesh, 2004. "Labor Demand in Latin America and the Caribbean. What Does It Tell Us?," NBER Chapters, in: Law and Employment: Lessons from Latin America and the Caribbean, pages 553-562, National Bureau of Economic Research, Inc.
    19. Maribel Castillo Caicedo & Geovanny Castro Aristizabal & Diana Marcela Escandón Barbosa, 2010. "Demanda laboral de profesionales en ciencias económicas, administrativas e ingeniería en Cali 2009: ¿van de la mano el capital humano y la señalización?," Investigaciones de Economía de la Educación volume 5, in: María Jesús Mancebón-Torrubia & Domingo P. Ximénez-de-Embún & José María Gómez-Sancho & Gregorio Gim (ed.), Investigaciones de Economía de la Educación 5, edition 1, volume 5, chapter 42, pages 825-846, Asociación de Economía de la Educación.

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