The Impact of Ending Mandatory Union Fees: Evidence from Administrative Data

Sutirtha Bagchi

No 63, Villanova School of Business Department of Economics and Statistics Working Paper Series from Villanova School of Business Department of Economics and Statistics

Abstract: The 2018 Supreme Court decision in Janus v. AFSCME eliminated mandatory union fees for public-sector workers, overturning four decades of legal precedent. Using administrative payroll data from 400 jurisdictions across 21 states, I find that dues-paying membership declined by 8.9 to 13.4 percent by 2021, a drop substantially smaller than anticipated. At least three-quarters of this decline reflects the automatic termination of agency fees rather than voluntary exits by union members. Teachers, police, and firefighters maintained relatively stable membership, while support staff experienced declines of 13 to 18 percent. Despite these membership losses, I find no impact on overall earnings.

Keywords: Public-sector unions; Union membership; Collective bargaining; Agency fees; Janus; Freeriding (search for similar items in EconPapers)
JEL-codes: H75 J45 J51 K31 (search for similar items in EconPapers)
Date: 2026-03
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Persistent link: https://EconPapers.repec.org/RePEc:vil:papers:63

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