Profit Sharing and Workplace Productivity: Does Teamwork Play a Role?

Richard J. Long () and Tony Fang
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Richard J. Long: University of Saskatchewan

No 7869, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: The conditions under which profit sharing affects workplace productivity have never been fully understood. Using panel data, this paper examines whether there is any link between adoption of an employee profit sharing plan and subsequent productivity growth in Canadian establishments, and whether this relationship is affected by various contextual factors, particularly use of work teams. In so doing, we use both three and five-year panels. Overall, we find a significant link between adoption of a profit sharing program and subsequent productivity growth in both panels, but only among establishments that utilize employee work teams.

Keywords: teamwork; workplace productivity; profit sharing plans; firm-worker linked survey; Canada (search for similar items in EconPapers)
JEL-codes: J24 J33 J54 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2013-12
New Economics Papers: this item is included in nep-eff, nep-hrm, nep-lab and nep-lma
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Published - published in: Relations industrielles/Industrial Relations, 2021, 76 (1), 90-114

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