EconPapers    
Economics at your fingertips  
 

Wage cyclicality under different regimes of industrial relations

Hermann Gartner (), Thorsten Schank () and Claus Schnabel ()

No 70, Discussion Papers from Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics

Abstract: Since there is scant evidence on the role of industrial relations in wage cyclicality, this paper analyzes the effect of collective wage contracts and of works councils on real wage growth. Using linked employer-employee data for western Germany, we find that works councils affect wage growth only in combination with collective bargaining. Wage adjustments to positive and negative economic shocks are not always symmetric. Only under sectoral bargaining there is a (nearly symmetric) reaction to rising and falling unemployment. In contrast, wage growth in establishments without collective bargaining adjusts only to falling unemployment and is unaffected by rising unemployment.

Keywords: wage cyclicality; wage bargaining; works council; Germany (search for similar items in EconPapers)
JEL-codes: J31 E32 J53 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec and nep-lab
Date: 2010
References: View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/43126/1/640322204.pdf (application/pdf)

Related works:
Journal Article: Wage Cyclicality Under Different Regimes of Industrial Relations (2013) Downloads
Working Paper: Wage Cyclicality under Different Regimes of Industrial Relations (2010) Downloads
Working Paper: Wage cyclicality under different regimes of industrial relations (2010) Downloads
Working Paper: Wage cyclicality under different regimes of industrial relations (2010) Downloads
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: https://EconPapers.repec.org/RePEc:zbw:faulre:70

Access Statistics for this paper

More papers in Discussion Papers from Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().

 
Page updated 2019-10-31
Handle: RePEc:zbw:faulre:70