Arbeitspapier

Rent-sharing under different bargaining regimes: Evidence from linked employer-employee data

In many European countries, the majority of workers have their wage rates determined directly by industry-level agreements. For some workers, industry agreements are supplemented by firm-specific agreements. Yet, the relative importance of individual company and industry agreements (in other words, the degree of centralisation) differs drastically across industries. The authors of this paper use unique linked employer-employee data from a 2003 survey in Belgium to examine how these bargaining features affect the extent of rent-sharing. Their results show that there is substantially more rent-sharing in decentralised than in centralised industries, even when controlling for the endogeneity of profits, for heterogeneity among workers and firms and for differences in characteristics between bargaining regimes. Moreover, in centralised industries, rent-sharing is found only for workers that are covered by a company agreement. The findings of this paper finally suggest that, within decentralised industries, both firm-specific and industry-wide bargaining generate rent-sharing to the same extent.

Language
Englisch

Bibliographic citation
Series: NBB Working Paper ; No. 152

Classification
Wirtschaft
Wage Level and Structure; Wage Differentials
Trade Unions: Objectives, Structure, and Effects
Subject
Rent-sharing
collective bargaining
propensity score matching.
Tarifverhandlungen
Tarifverhandlungen
Betriebsvereinbarung
Vergleich
Lohnbildung
Rententheorie
Belgien

Event
Geistige Schöpfung
(who)
Rusinek, Michael
Rycx, François
Event
Veröffentlichung
(who)
National Bank of Belgium
(where)
Brussels
(when)
2008

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Rusinek, Michael
  • Rycx, François
  • National Bank of Belgium

Time of origin

  • 2008

Other Objects (12)