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Does egalitarian pay add value? Pay compression, union structure and manufacturing productivity growth in the OECD

Does egalitarian pay add value? Pay compression, union structure and manufacturing productivity growth in the OECD
Does egalitarian pay add value? Pay compression, union structure and manufacturing productivity growth in the OECD
Unions reduce aggregate pay inequality. Where industrial, or encompassing, unionism predominates, movements have generally coherently pursued inter-enterprise or inter-occupational compression. However, pay compressions have generally been rather unstructured where unionism is segmented by enterprise or the craft-general divide. Analysis of labour productivity growth in manufacturing across 14 OECD countries between 1965 and 1995 shows that an emphasis on aggregate pay compression hampers productivity growth under encompassing unionism, but under segmented unionism promotes it.
appropriability, organizing principle, pay inequality, performance, solidaristic pay, unions, valueadded, wage dispersion
0959-6801
73-91
Vernon, Guy
07d124b8-c898-476e-b342-bd2bacc4107d
Vernon, Guy
07d124b8-c898-476e-b342-bd2bacc4107d

Vernon, Guy (2015) Does egalitarian pay add value? Pay compression, union structure and manufacturing productivity growth in the OECD. European Journal of Industrial Relations, 21 (1), 73-91. (doi:10.1177/0959680113511007).

Record type: Article

Abstract

Unions reduce aggregate pay inequality. Where industrial, or encompassing, unionism predominates, movements have generally coherently pursued inter-enterprise or inter-occupational compression. However, pay compressions have generally been rather unstructured where unionism is segmented by enterprise or the craft-general divide. Analysis of labour productivity growth in manufacturing across 14 OECD countries between 1965 and 1995 shows that an emphasis on aggregate pay compression hampers productivity growth under encompassing unionism, but under segmented unionism promotes it.

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Accepted/In Press date: 2013
e-pub ahead of print date: 27 November 2013
Published date: 1 March 2015
Keywords: appropriability, organizing principle, pay inequality, performance, solidaristic pay, unions, valueadded, wage dispersion
Organisations: HRM and Organisational Behaviour

Identifiers

Local EPrints ID: 359218
URI: http://eprints.soton.ac.uk/id/eprint/359218
ISSN: 0959-6801
PURE UUID: 99be571d-5b51-49a6-ac98-a5617bc49b3d

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Date deposited: 24 Oct 2013 10:59
Last modified: 14 Mar 2024 15:18

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