Authors: Gralla, Rafael
Kraft, Kornelius
Title: Higher wages, overstaffing or both?
Other Titles: The employer’s assessment of problems regarding wage costs and staff level in codetermined establishments
Language (ISO): en
Abstract: This study examines the differences in the likelihood of overpayment and overemployment in establishments with and without works councils. In contrast to other studies, we use assessments by the management concerning the existence of such problems. Furthermore, we also analyze how different types of works councils influence the probability of overemployment and overpayment. Using the wave 2006 of the IAB Establishment Panel, we show that establishments with works councils that are prepared to interfere with the management are more likely to suffer from overemployment but do not differ in the likelihood of overpayment compared to establishments without works councils. Establishments with works councils that are in line with the management, however, do not differ from establishments without a works council with regard to the likelihood of overemployment but have a lower likelihood of overpayment.
Subject Headings: employment
wages
works councils
URI: http://hdl.handle.net/2003/29440
http://dx.doi.org/10.17877/DE290R-3338
Issue Date: 2012-05-10
Appears in Collections:Sonderforschungsbereich (SFB) 823

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