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High-Performance Management Practices and Employee Outcomes in Denmark

  • Cristini, Annalisa

    ()

    (University of Bergamo)

  • Eriksson, Tor

    ()

    (Aarhus School of Business)

  • Pozzoli, Dario

    ()

    (Copenhagen Business School)

High-performance work practices are frequently considered to have positive effects on corporate performance, but what do they do for employees? After assessing the correlation between organizational innovation and firm performance, this article investigates whether high-involvement work practices affect workers in terms of wages, wage inequality and workforce composition. The analysis is based on a survey directed at Danish firms matched with linked employer-employee data and also examines whether the relationship between high-involvement work practices and employee outcomes is affected by the industrial relations context.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6984.

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Length: 44 pages
Date of creation: Nov 2012
Date of revision:
Publication status: published in: Scottish Journal of Political Economy, 2013, 60 (3), Lead article.
Handle: RePEc:iza:izadps:dp6984
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  1. Aghion, Philippe & Caroli, Eve & Garcia-Penalosa, Cecilia, 1999. "Inequality and economic growth: the perspective of the new growth theories," CEPREMAP Working Papers (Couverture Orange) 9908, CEPREMAP.
  2. Lisa M. Lynch & Sandra E. Black, 1998. "Beyond the Incidence of Employer-Provided Training," ILR Review, Cornell University, ILR School, vol. 52(1), pages 64-81, October.
  3. Stephen Machin & Stephen Wood, 2005. "Human Resource Management as a Substitute for Trade Unions in British Workplaces," ILR Review, Cornell University, ILR School, vol. 58(2), pages 201-218, January.
  4. Michael J. Handel & Maury Gittleman, 2000. "Is there a Wage Payoff to Innovative Work Practices?," Macroeconomics 0004032, EconWPA.
  5. David Neumark & Peter Cappelli, 1999. "Do "High Performance" Work Practices Improve Establishment-Level Outcomes?," NBER Working Papers 7374, National Bureau of Economic Research, Inc.
  6. Pierpaolo Parrotta & Dario Pozzoli, 2012. "The effect of learning by hiring on productivity," RAND Journal of Economics, RAND Corporation, vol. 43(1), pages 167-185, 03.
  7. Raghuram G. Rajan & Julie Wulf, 2006. "The Flattening Firm: Evidence from Panel Data on the Changing Nature of Corporate Hierarchies," The Review of Economics and Statistics, MIT Press, vol. 88(4), pages 759-773, November.
  8. James Levinsohn & Amil Petrin, 2003. "Estimating Production Functions Using Inputs to Control for Unobservables," Review of Economic Studies, Wiley Blackwell, vol. 70(2), pages 317-341, 04.
  9. Nathalie Greenan & Jacques Mairesse, 1999. "Organizational Change in French Manufacturing: What Do We Learn From Firm Representatives and From Their Employees?," NBER Working Papers 7285, National Bureau of Economic Research, Inc.
  10. Wooldridge, Jeffrey M., 2009. "On estimating firm-level production functions using proxy variables to control for unobservables," Economics Letters, Elsevier, vol. 104(3), pages 112-114, September.
  11. Cristini Annalisa & Gaj Alessandro & Labory Sandrine & Leoni Riccardo, 2003. "Flat Hierarchical Structure, Bundles of New Work Practices and Firm Performance," Rivista italiana degli economisti, Società editrice il Mulino, issue 2, pages 313.
  12. John Godard, 2004. "A Critical Assessment of the High-Performance Paradigm," British Journal of Industrial Relations, London School of Economics, vol. 42(2), pages 349-378, 06.
  13. Richard Blundell & Steve Bond, 1999. "GMM estimation with persistent panel data: an application to production functions," IFS Working Papers W99/04, Institute for Fiscal Studies.
  14. Paul Osterman, 1994. "How common is workplace transformation and who adopts it?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 47(2), pages 173-188, January.
  15. Buhai, Sebastian & Cottini, Elena & Westergaard-Nielsen, Niels, 2008. "The impact of workplace conditions on firm performance," Working Papers 08-13, University of Aarhus, Aarhus School of Business, Department of Economics.
  16. repec:rie:review:v:8:y:2003:i:2:n:7 is not listed on IDEAS
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