A sequential decomposition of the drop in collective bargaining coverage

Fitzenberger B, Sommerfeld K (2016)

Publication Type: Journal article, Review article

Publication year: 2016

Journal

Jahrbücher für Nationalökonomie und Statistik Lucius & Lucius / DeGruyter

Book Volume: 236

Pages Range: 37-69

Journal Issue: 1

DOI: 10.1515/jbnst-2015-1002

Abstract

Union representation has been in strong decline in most OECD countries with potentially important consequences for wages. What drives this decline? We try to answer this question by developing and implementing a detailed Fairlie decomposition approach. Using linked employer-employee data from the German Structure of Earnings Survey for 2001 and 2006, we document a sharp drop in collective bargaining coverage that amounts to 17 percentage points for males and 20 percentage points for females in West, and 8 and 14 percentage points, respectively, in East Germany. We find that neither changes in the characteristics nor changes in the coefficients associated with the characteristics as a whole provide an explanation for the drop in collective bargaining coverage. The drop in coverage is the result of an unexplained time trend.

Authors with CRIS profile

Bernd Fitzenberger

Additional Organisation(s)

Lehrstuhl für Quantitative Arbeitsökonomik

Involved external institutions

Zentrum für Europäische Wirtschaftsforschung (ZEW) DE Germany (DE) Humboldt-Universität zu Berlin DE Germany (DE)

How to cite

APA:

Fitzenberger, B., & Sommerfeld, K. (2016). A sequential decomposition of the drop in collective bargaining coverage. Jahrbücher für Nationalökonomie und Statistik, 236(1), 37-69. https://dx.doi.org/10.1515/jbnst-2015-1002

MLA:

Fitzenberger, Bernd, and Katrin Sommerfeld. "A sequential decomposition of the drop in collective bargaining coverage." Jahrbücher für Nationalökonomie und Statistik 236.1 (2016): 37-69.

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