Economics at your fingertips  

Robots and Unions: The Moderating Effect of Organised Labour on Technological Unemployment

Henri Haapanala, Ive Marx () and Zachary Parolin
Additional contact information
Henri Haapanala: University of Antwerp
Ive Marx: University of Antwerp
Zachary Parolin: Bocconi University

No 15080, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We analyse the moderating effect of trade unions on industrial employment and unemployment in countries facing exposure to industrial robots. Applying random effects within-between regression to a pseudo-panel of observations from 28 advanced democracies over 1998-2019, we find that stronger trade unions in a country are associated with a greater decline in the industry sector employment of young and low-educated workers. We also show that the unemployment rates for low-educated workers remain constant in strongly unionised countries with increasing exposure to robots, whereas in weakly unionised countries, low-educated unemployment declines with robot exposure but from a higher starting point. Our results point to unions exacerbating the insider-outsider effects of technological change within the industrial sector, which however is not fully passed on to unemployment.

Keywords: trade unions; technological change; outsiders/insiders; dual labour market; unemployment; labour economics (search for similar items in EconPapers)
JEL-codes: J5 (search for similar items in EconPapers)
Pages: 81 pages
Date: 2022-02
New Economics Papers: this item is included in nep-cwa, nep-edu, nep-lab and nep-tid
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().

Page updated 2022-09-28
Handle: RePEc:iza:izadps:dp15080