Publication type
Conference Paper
Series
European Economic Association 25th Annual Meeting, 23-26 August, 2010, Glasgow, Scotland
Author
Publication date
June 1, 2010
Abstract:
Why do workers join Union? Union wages are available to all workers, regardless of their Union membership status. Recent literature stressed the role of Unions in providing excludable employment security to their members, by enforcing higher firing cost. Using BHPS panel data, we’ll test the hypotheses that: i) Union Membership reduces involuntary layoff/dismissal; ii) Union Members increase the probability and the amount of a severance payment upon dismissal.I found that Union Membership reduced firing probability by 50% (from 7 to 3.5%) and increases received severance pay by roughly two month of pre-displacement wage.
Subject
Link
- http://www.eea-esem.com/files/papers/EEA/2010/1298/Colonna-UN.pdf
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