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Collective Bargaining and Innovation

Author

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  • John T. Addison

    (University of South Carolina, Durham University, U.S.A.; IZA Bonn, Germany; The Rimini Centre for Economic Analysis, Italy)

  • Paulino Teixeira

    (University of Coimbra and GEMF, Portugal; IZA Bonn, Germany)

  • Katalin Evers

    (Institut für Arbeitsmarkt- und Berufsforschung der Bundesagentur für Arbeit, Germany)

  • Lutz Bellmann

    (Friedrich-Alexander-Universität Erlangen-Nürnberg, Institut für Arbeitsmarkt- und Berufsforschung der Bundesagentur für Arbeit, IZA Bonn, Germany)

Abstract

At the level of theory, the effect of collective bargaining on innovation is disputed. The U.S. evidence clearly points to adverse effects, but other-country experience suggests that certain industrial relations systems, or the wider regulatory apparatus, might even tip the balance in favor of unions. Our pooled cross section and difference-in-differences estimates provide weak evidence that German collective bargaining inhibits innovation. However, in conjunction with workplace representation, it might even foster innovative activity.

Suggested Citation

  • John T. Addison & Paulino Teixeira & Katalin Evers & Lutz Bellmann, 2015. "Collective Bargaining and Innovation," Working Paper series 15-07, Rimini Centre for Economic Analysis.
    • Handle: RePEc:rim:rimwps:15-07
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    References listed on IDEAS

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    Cited by:

    1. Addison John T. & Teixeira Paulino, 2019. "Workplace Employee Representation and Industrial Relations Performance: New Evidence from the 2013 European Company Survey," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 239(1), pages 111-154, January.
    2. Barry, Michael & Bryson, Alex & Gomez, Rafael & Kaufman, Bruce E. & Lomas, Guenther & Wilkinson, Adrian, 2018. "The," IZA Discussion Papers 11860, Institute of Labor Economics (IZA).
    3. Alex Bryson & Lucy Stokes & David Wilkinson, 2023. "Is pupil attainment higher in well-managed schools?," Education Economics, Taylor & Francis Journals, vol. 31(1), pages 129-144, January.
    4. Uwe Jirjahn, 2011. "Gender, Worker Representation and the Profitability of Firms in Germany," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 8(2), pages 281-298, December.
    5. Antonio Merlo & Kenneth I. Wolpin, 2008. "The Transition from School to Jail: Youth Crime and High School Completion Among Black Males, Second Version," PIER Working Paper Archive 09-002, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania, revised 16 Jan 2009.
    6. Michael White & Alex Bryson, 2018. "HPWS in the Public Sector: Are There Mutual Gains?," DoQSS Working Papers 18-10, Quantitative Social Science - UCL Social Research Institute, University College London.
    7. Denis Fougère & Francis Kramarz & Julien Pouget, 2009. "Youth Unemployment and Crime in France," Journal of the European Economic Association, MIT Press, vol. 7(5), pages 909-938, September.
    8. Michael Barry & Alex Bryson & Rafael Gomez & Bruce Kaufman & Guenther Lomas & Adrian Wilkinson, 2018. "The ''Good Workplace'': The Role of Joint Consultative Committees, Unions and HR policies in Employee Ratings of Workplaces in Britain," DoQSS Working Papers 18-08, Quantitative Social Science - UCL Social Research Institute, University College London.
    9. Merlo, Antonio & Wolpin, Kenneth I., 2015. "The transition from school to jail: Youth crime and high school completion among black males," European Economic Review, Elsevier, vol. 79(C), pages 234-251.
    10. Schnabel, Claus, 2006. "Verbetrieblichung der Lohnfindung und der Festlegung von Arbeitsbedingungen," Arbeitspapiere 118, Hans-Böckler-Stiftung, Düsseldorf.
    11. Arnd Kölling, 2014. "Labor Demand and Unequal Payment: Does Wage Inequality matter? Analyzing the Influence of Intra-firm Wage Dispersion on Labor Demand with German Employer-Employee Data," Working Paper Series in Economics 326, University of Lüneburg, Institute of Economics.
    12. Addison, John T. & Teixeira, Paulino, 2017. "Strikes, Employee Workplace Representation, Unionism, and Trust: Evidence from Cross-Country Data," IZA Discussion Papers 10575, Institute of Labor Economics (IZA).
    13. Dario Guarascio & Annamaria Simonazzi, 2016. "A polarized country in a polarized Europe: an industrial policy for Italy’s renaissance," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 43(3), pages 315-322, September.

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