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Information Sharing and Collective Bargaining in Japan: Effects on Wage Negotiation

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  • Motohiro Morishima

Abstract

Japanese firms often attempt to influence the process and outcomes of wage negotiation by sharing confidential business information with their unions and employees through the joint consultation system. In this study, using a unique survey of Japanese joint consultation committees conducted in 1981, the author examines the effects of information sharing on the process and outcomes of wage negotiation. The results show that when firms engaged in increased information sharing, negotiation processes were shorter and easier, and unions tended to demand and accept lower wage increases. In contrast, a similar study performed in the United States found that information sharing increased labor's bargaining power.

Suggested Citation

  • Motohiro Morishima, 1991. "Information Sharing and Collective Bargaining in Japan: Effects on Wage Negotiation," ILR Review, Cornell University, ILR School, vol. 44(3), pages 469-485, April.
    • Handle: RePEc:sae:ilrrev:v:44:y:1991:i:3:p:469-485
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    Cited by:

    1. Joel Rogers, 1995. "United States: Lessons from Abroad and Home," NBER Chapters, in: Works Councils: Consultation, Representation, and Cooperation in Industrial Relations, pages 375-410, National Bureau of Economic Research, Inc.
    2. Corinne Perraudin & Héloïse Petit, & Antoine Rebérioux, 2013. "Worker Information and Firm Disclosure Analysis on French Linked Employer–Employee Data," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 52(1), pages 134-161, January.
    3. Richard B. Freeman & Edward P. Lazear, 1995. "An Economic Analysis of Works Councils," NBER Chapters, in: Works Councils: Consultation, Representation, and Cooperation in Industrial Relations, pages 27-52, National Bureau of Economic Research, Inc.
    4. Takao Kato, 2003. "The Recent Transformation of Participatory Employment Practices in Japan," NBER Chapters, in: Labor Markets and Firm Benefit Policies in Japan and the United States, pages 39-80, National Bureau of Economic Research, Inc.
    5. Moriguchi, Chiaki, 2010. "Top wage incomes in Japan, 1951-2005," Journal of the Japanese and International Economies, Elsevier, vol. 24(3), pages 301-333, September.
    6. Shin'ichi Hirota & Kohei Kawamura, 2002. "What Makes Autonomous Management Do Well?: Corporate Governance without External Controls," Yale School of Management Working Papers ysm270, Yale School of Management, revised 01 Sep 2002.
    7. Ohkusa, Yasushi & Ohtake, Fumio, 1997. "The Productivity Effects of Information Sharing, Profit Sharing, and ESOPs," Journal of the Japanese and International Economies, Elsevier, vol. 11(3), pages 385-402, September.
    8. Jaime Saavedra-Chanduví & Máximo Torero, 2002. "Union Density Changes and Union Effects On Firm Performance in Peru," Research Department Publications 3158, Inter-American Development Bank, Research Department.
    9. Motohiro Morishima, 1992. "Use of Joint Consultation Committees by Large Japanese Firms," British Journal of Industrial Relations, London School of Economics, vol. 30(3), pages 405-423, September.
    10. Fuess Jr., Scott M., 2001. "Union Bargaining Power: A View from Japan," IZA Discussion Papers 393, Institute of Labor Economics (IZA).
    11. Peter Cramton & Hamid Mehran & Joseph Tracy, 2010. "Bargaining with a Shared Interest: The Impact of Employee Stock Ownership Plans on Labor Disputes," Papers of Peter Cramton 98wpesop, University of Maryland, Department of Economics - Peter Cramton, revised Jun 2010.
    12. Chiaki Moriguchi & Emmanuel Saez, 2006. "The Evolution of Income Concentration in Japan, 1886-2002: Evidence from Income Tax Statistics," NBER Working Papers 12558, National Bureau of Economic Research, Inc.

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