Can profit sharing lower flexible outsourcing? A note
"We analyze the following question associated with flexible outsourcing under imperfect domestic labour market: How does the implementation of profit sharing influence flexible outsourcing? We show that in general profit sharing has a negative effect on low skilled wage and thus an outsourcing...
| Main Authors: | , |
|---|---|
| Institution: | ETUI-European Trade Union Institute |
| Format: | TEXT |
| Language: | English |
| Published: |
Bonn
2009
IZA |
| Subjects: | |
| Online Access: | https://www.labourline.org/KENTIKA-19188431124919066139-Can-profit-sharing-lower-flexi.htm |
| Summary: | "We analyze the following question associated with flexible outsourcing under imperfect domestic labour market: How does the implementation of profit sharing influence flexible outsourcing? We show that in general profit sharing has a negative effect on low skilled wage and thus an outsourcing decreasing character. However due to labour union determination of effort a constant effort level will result so that in this case firm's optimal choice of profit sharing is zero." |
|---|---|
| Physical Description: | 17 p. Digital |