Collective Bargaining, Worker Compensation and Firm Performance

Abstract: We study how different margins of collective bargaining (CB) coverage affects workers and firms. Using detailed Norwegian data with information on establishment-level CB coverage, worker-level union membership and industry-wide wage floors, and relying on alternative research designs, we show that CB coverage increases average wages and reduces within-establishment dispersion. CB coverage also affects firm performance and employers respond to these changes by adjusting labor demand. The overall effects on labor share are found to be ambiguous.

Discussant: Manudeep Bhuller (University of Oslo).

Chair: Micole De Vera. 

Contact: Micole De Vera.

Location: Meeting room DG Economics.

Timetable: 2025.06.04 (12:00-13:00).

 

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