A Seat at the Table: The Effects of Workers' Representation on Firm Performance and Jobs

Andrea Mina, Daniele Moschella and Julian Tiedtke

LEM Papers Series from Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy

Abstract: Institutions representing the workers' voice have long been a contentious topic in the economic literature. Against a backdrop of inconclusive evidence and limited use of credible identification strategies, we study the impact of the 2015 policy change that introduced mandatory board-level employee representation in firms with over 1,000 employees in France. Using rich linked employer-employee data and two empirical strategies -a difference-in-differences and a difference-in-discontinuity approach- we examine how the reform affected firms and workers. Our results show a positive impact on job quality, with no evidence of adverse effects on firm performance, and heterogeneous effects between manufacturing and service sectors.Creation-Date: 2025-09-22

Keywords: Workers' Voice; Employee Representation; Job Quality; Corporate Governance; Difference-in-Discontinuity (search for similar items in EconPapers)
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Persistent link: https://EconPapers.repec.org/RePEc:ssa:lemwps:2025/29

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