Has Globalisation Affected Collective Bargaining? An Empirical Test, 1980–2009

32 Pages Posted: 19 Jan 2016

See all articles by Zohal Hessami

Zohal Hessami

University of Konstanz, Department of Economics

Thushyanthan Baskaran

University of Goettingen (Göttingen)

Date Written: December 2015

Abstract

We investigate whether globalisation has affected the nature of collective bargaining in OECD and emerging countries. The main innovations over the existing empirical literature are (i) the consideration of three distinct aspects of collective bargaining (union density, decentralised bargaining and the extent of government intervention), (ii) the reliance on a sample with a larger cross‐sectional and time dimension (44 countries from 1980 to 2009), and (iii) the application of a more appropriate empirical methodology (dynamic panel data models). We find that globalisation, on average, depresses unionisation but neither affects the degree of decentralisation nor government intervention in collective bargaining. We also uncover significant heterogeneity effects, both across countries and over time.

Suggested Citation

Hessami, Zohal and Baskaran, Thushyanthan, Has Globalisation Affected Collective Bargaining? An Empirical Test, 1980–2009 (December 2015). The World Economy, Vol. 38, Issue 12, pp. 1880-1911, 2015, Available at SSRN: https://ssrn.com/abstract=2717218 or http://dx.doi.org/10.1111/twec.12239

Zohal Hessami (Contact Author)

University of Konstanz, Department of Economics ( email )

Box 138
Konstanz, 78457
Germany

Thushyanthan Baskaran

University of Goettingen (Göttingen) ( email )

Platz der Gottinger Sieben 3
Gottingen, D-37073
Germany

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