Employee Ownership, Employee Attitudes, and Firm Performance
Employee ownership in U.S. companies has grown substantially in the past 20 years. This paper reviews and provides some meta-analyses on the accumulated evidence concerning the prevalence, causes, and effects of employee ownership, covering 25 studies of employee attitudes and behaviors, and 27 studies of productivity and profitability (with both cross-sectional and pre/post comparisons). Attitudinal and behavioral studies tend to find higher employee commitment among employee-owners but mixed results on satisfaction, motivation, and other measures. Perceived participation in decisions is not in itself automatically increased through employee ownership, but may interact positively with employee ownership in affecting attitudes. While few studies individually find clear links between employee ownership and firm performance, meta-analyses favor an overall positive association with performance for ESOPs and for several cooperative features. The dispersed results among attitudinal and performance studies indicate the importance of firm-level employee relations, human resource policies, and other circumstances.
|Date of creation:||Sep 1995|
|Publication status:||published as Handbook of Resource Management, Mitchell, Daniel J.B., David Lewin and Mahumdad Zaidi, eds., Greenwich, CT: JAI Press, 1997, pp. 113-151.|
|Contact details of provider:|| Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.|
Web page: http://www.nber.org
More information through EDIRC
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.:
- Gregg, P. A. & Machin, S. J., 1988.
"Unions and the incidence of performance linked pay schemes in Britain,"
International Journal of Industrial Organization,
Elsevier, vol. 6(1), pages 91-107, March.
- Gregg, P. A & Machin, S. j, 1987. "Unions and the Incidence of Performance Linked Pay Schemes in Britain," The Warwick Economics Research Paper Series (TWERPS) 286, University of Warwick, Department of Economics.
- Felix R. FitzRoy & Kornelius Kraft, 1987. "Cooperation, Productivity, and Profit Sharing," The Quarterly Journal of Economics, Oxford University Press, vol. 102(1), pages 23-35.
- Conte, Michael A. & Svejnar, Jan, 1988. "Productivity effects of worker participation in management, profit-sharing, worker ownership of assets and unionization in U.S. firms," International Journal of Industrial Organization, Elsevier, vol. 6(1), pages 139-151, March.
- Craig, Ben & Pencavel, John, 1992. "The Behavior of Worker Cooperatives: The Plywood Companies of the Pacific Northwest," American Economic Review, American Economic Association, vol. 82(5), pages 1083-1105, December.
- Chris Doucouliagos, 1995. "Worker Participation and Productivity in Labor-Managed and Participatory Capitalist Firms: A Meta-Analysis," ILR Review, Cornell University, ILR School, vol. 49(1), pages 58-77, October.
- Derek C. Jones, 1987. "The Productivity Effects of Worker Directors and Financial Participation by Employees in the Firm: The Case of British Retail Cooperatives," ILR Review, Cornell University, ILR School, vol. 41(1), pages 79-92, October.
- James A. Brickley & Kathleen T. Hevert, 1991. "Direct Employee Stock Ownership: An Empirical Investigation," Financial Management, Financial Management Association, vol. 20(2), Summer.
- Derek C. Jones & Jeffrey Pliskin, 1989. "Unionization and the Incidence of Performance-based Compensation in Canada," Economics Working Paper Archive wp_29, Levy Economics Institute.
- Milgrom, Paul & Roberts, John, 1995. "Complementarities and fit strategy, structure, and organizational change in manufacturing," Journal of Accounting and Economics, Elsevier, vol. 19(2-3), pages 179-208, April.
- Casey Ichniowski & Kathryn Shaw & Giovanna Prennushi, 1995. "The Effects of Human Resource Management Practices on Productivity," NBER Working Papers 5333, National Bureau of Economic Research, Inc.
- Jones, Derek C & Svejnar, Jan, 1985. "Participation, Profit Sharing, Worker Ownership and Efficiency in Italian Producer Cooperative," Economica, London School of Economics and Political Science, vol. 52(208), pages 449-465, November.
- JONES, Derek C. & SVEJNAR, Jan, "undated". "Participation, profit sharing, worker ownership and efficiency in Italian producer cooperatives," CORE Discussion Papers RP 681, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Jones, D.C. & Svejnar, J., 1984. "Participation, profit sharing, worker ownership and efficieny in Italian producer cooperatives," CORE Discussion Papers 1984019, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Bonin, John P & Jones, Derek C & Putterman, Louis, 1993. "Theoretical and Empirical Studies of Producer Cooperatives: Will Ever the Twain Meet?," Journal of Economic Literature, American Economic Association, vol. 31(3), pages 1290-1320, September.
- Bell, Linda A & Neumark, David, 1993. "Lump-Sum Payments and Profit-Sharing Plans in the Union Sector of the United States Economy," Economic Journal, Royal Economic Society, vol. 103(418), pages 602-619, May.
- Rooney, Patrick Michael, 1992. "Employee ownership and worker participation : Effects on health and safety," Economics Letters, Elsevier, vol. 39(3), pages 323-328, July. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:5277. 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 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.