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Trade union membership and earnings in Kenyan manufacturing firms

Author

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  • Damiano Kulundu Manda
  • Arne Bigsten
  • Germano Mwabu

Abstract

This study analyses the effect of trade unions on male earnings in the Kenyan manufacturing sector using a regression method, which takes into account endogeneity of the union status of workers. In contrast to earlier studies of the Kenyan labour market that report a negative effect of unions on wages, a positive effect is found. The study further shows that elite workers tend to abstain from union membership.

Suggested Citation

  • Damiano Kulundu Manda & Arne Bigsten & Germano Mwabu, 2005. "Trade union membership and earnings in Kenyan manufacturing firms," Applied Economics, Taylor & Francis Journals, vol. 37(15), pages 1693-1704.
    • Handle: RePEc:taf:applec:v:37:y:2005:i:15:p:1693-1704
    DOI: 10.1080/00036840500118903
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    References listed on IDEAS

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    1. House, William J & Rempel, Henry, 1976. "The Impact of Unionization on Negotiated Wages in the Manufacturing Sector in Kenya," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 38(2), pages 111-123, May.
    2. Schmidt, Peter & Strauss, Robert P, 1976. "The Effect of Unions on Earnings and Earnings on Unions: A Mixed Logit Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 17(1), pages 204-212, February.
    3. Booth,Alison L., 1994. "The Economics of the Trade Union," Cambridge Books, Cambridge University Press, number 9780521468398.
    4. David Neumark & Michael L. Wachter, 1995. "Union Effects on Nonunion Wages: Evidence from Panel Data on Industries and Cities," ILR Review, Cornell University, ILR School, vol. 49(1), pages 20-38, October.
    5. Lee, Lung-Fei, 1978. "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 415-433, June.
    6. Lanfranchi, Joseph & Ohlsson, Henry & Skalli, Ali, 2002. "Compensating wage differentials and shift work preferences," Economics Letters, Elsevier, vol. 74(3), pages 393-398, February.
    7. Robinson, Chris, 1989. "The Joint Determination of Union Status and Union Wage Effects: Some Tests of Alternative Models," Journal of Political Economy, University of Chicago Press, vol. 97(3), pages 639-667, June.
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    Cited by:

    1. Mohamed Jellal & François-Charles Wolff, 2003. "Privatisation et négociation collective," Revue d’économie du développement, De Boeck Université, vol. 11(1), pages 73-99.
    2. Fox, Louise & Oviedo, Ana Maria, 2008. "Are skills rewarded in Sub-Saharan Africa ? determinants of wages and productivity in the manufacturing sector," Policy Research Working Paper Series 4688, The World Bank.
    3. Brändle, Tobias, 2024. "Unions and Collective Bargaining: The Influence on Wages, Employment and Firm Survival," GLO Discussion Paper Series 1457, Global Labor Organization (GLO).
    4. Charles Godfred Ackah & Charles Adjasi & Festus Turkson & Adjoa Acquah, 2014. "Education, Skill, and Earnings: Further Evidence from Ghana," WIDER Working Paper Series wp-2014-073, World Institute for Development Economic Research (UNU-WIDER).
    5. Wambugu, Anthony, 2002. "Real Wages and Returns to Human Capital in Kenya Manufacturing firms," Working Papers in Economics 75, University of Gothenburg, Department of Economics.
    6. Guataquí R., Juan Carlos & García S., Andrés & Rodríguez A., Mauricio, 2011. "Structural determinants of trade union membership in Colombia," Perfil de Coyuntura Económica, Universidad de Antioquia, CIE, June.
    7. Ackah, Charles & Adjasi, Charles & Turkson, Festus & Acquah, Adjoa, 2014. "Education, skill, and earnings: Further evidence from Ghana," WIDER Working Paper Series 073, World Institute for Development Economic Research (UNU-WIDER).
    8. Abdullah, Borhan & Zangelidis, Alexandros & Theodossiou, Ioannis, 2023. "Demand and supply effects on native-immigrant wage differentials: the case of Malaysia," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 57, pages 1-22.

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    More about this item

    JEL classification:

    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General

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