Industry-level wage bargaining : a partial rehabilitation; the German experience / Bernd Fitzenberger and Wolfgang Franz

By: Contributor(s): Resource type: Ressourcentyp: BuchBookLanguage: English Series: Discussion paper ; 99,33 : Labour economics, human resources and social securityPublisher: Mannheim : ZEW, 1999Description: 25 S. : graph. DarstSubject(s): Additional physical formats: Erscheint auch als: Industry-level wage bargaining. Online-Ausgabe Mannheim : ZEW, 1999. 1 Online-Ressource (circa 26 Seiten)Summary: In order to reduce unemployment, it is often recommended that industry-level wage bargaining in Germany should be replaced by a more decentralized system. This paper provides a critical assessment of the current wage bargaining institutions and reexamines the case for a more decentralized system. Based on a theoretical model integrating Insider-Outsider aspects into the comparison, the unformly superior employment performance of a decentralized wage bargaining system is questioned. We conclude that, rather than solely trying to decentralize wage bargaining, a promising policy option may be to improve the skills of the unemployed by efficient labour market policies and to foster institutional reforms such that wage bargaining takes account of the long-run employment consequences of wage setting.Call number: Grundsignatur: 2001 B 255PPN: PPN: 1148654623
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