The sources of the union wage gap: the role of worker, firm, match, and jobtitle heterogeneity

"Using matched employer-employee-contract data for Portugal – a country with near-universal union coverage – we find evidence of a sizable effect of union affiliation on wages. Gelbach's (2016) decomposition procedure is next deployed to ascertain the contributions of worker, firm, match,...

Full description

Bibliographic Details
Main Authors: Addison, John T., Portugal, Pedro, Vilares, Hugo
Institution:ETUI-European Trade Union Institute
Format: TEXT
Language:English
Published: Munich 2018
CESifo
Subjects:
Online Access:https://www.labourline.org/KENTIKA-19304586124911227689-The-sources-of-the-union-wage-.htm
Description
Summary:"Using matched employer-employee-contract data for Portugal – a country with near-universal union coverage – we find evidence of a sizable effect of union affiliation on wages. Gelbach's (2016) decomposition procedure is next deployed to ascertain the contributions of worker, firm, match, and job-title heterogeneity to the union wage gap. Of these the most important is the firm fixed effect, followed at some distance by union workers gaining from elevated job titles and/or more generous promotion policies. For its part, unobserved worker quality plays only a very weak role, while there is even less suggestion that improved match quality bolsters the union premium."
Physical Description:44 p.
Digital