Comment on: "Centralized Bargaining and Reorganized Work: Are they Compatible?"

Johannes Ludsteck

MPRA Paper from University Library of Munich, Germany

Abstract: Assar Lindbeck and Denis Snower investigate the effects of multitasking and teamwork on the viability of centralised bargaining. They emphasize that workers likely have private information concerning their task mix when multitasking plays a significant role in the production process. They try to show in a formal model that only a complex remuneration scheme provides incentives for workers to choose an optimal task mix and suggest that centralized wage setting cannot tackle this complexity. We show that their remuneraton scheme is either not necessary to solve the considered information problem or not implementable.

Keywords: reorganization; holistic firms; centralized bargaining; incentive payment (search for similar items in EconPapers)
JEL-codes: J01 J33 J51 (search for similar items in EconPapers)
Date: 2003
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:30164

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