|Title:||Wage and employment effects of workplace representation: a "Right To Co-Manage" model|
|Abstract:||This paper introduces a two-stage union-oligopoly-council model of wage and employment determination wherein at the first stage wage is negotiated through collective bargaining and at the second stage employment in each firm is co-determined by the employer and its works council. We provide a full characterization of the model outcome for all parameter values of bargaining power and co-determination power. In particular, works councils always increase employment while their impact on wage can be non-monotonic. Overall, individual works councils’ pursuit of own workers’ interests may well harm the workers as a union. JEL-Classification: J50; J54; L13|
|Subject Headings:||Firm-council co-determination|
|Appears in Collections:||Sonderforschungsbereich (SFB) 823|
This item is protected by original copyright
All resources in the repository are protected by copyright.