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The Effect of Work Stoppages on the Value of Firms in Canada

Author

Listed:
  • Martinello, F.
  • Hanrahan, R.
  • Kushner, J.
  • Masse, I.

Abstract

Event date methodology is used to estimate the impact of work stoppages on the expected profitability of Canadian firms listed on the Toronto Stock Exchange. Stoppages during collective bargaining decrease returns by 4.5%, whereas illegal stoppages during the term of a collective agreement have little effect on expected returns. The longer the stoppage, the greater the negative impact on the firm. The impact of stoppages also varies across legislative jurisdictions.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Martinello, F. & Hanrahan, R. & Kushner, J. & Masse, I., 1995. "The Effect of Work Stoppages on the Value of Firms in Canada," Working Papers 1995-04, Brock University, Department of Economics.
    • Handle: RePEc:brk:wpaper:1995-04
    as

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    References listed on IDEAS

    as
    1. Patell, Jm, 1976. "Corporate Forecasts Of Earnings Per Share And Stock-Price Behavior - Empirical Tests," Journal of Accounting Research, Wiley Blackwell, vol. 14(2), pages 246-276.
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    7. Felice Martinello & Robert Hanrahan & Joseph Kushner & Isidore Masse, 1995. "Union Certification in Ontario: Its Effect on the Value of the Firm," Canadian Journal of Economics, Canadian Economics Association, vol. 28(4b), pages 1077-1095, November.
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    More about this item

    Keywords

    PRODUCTIVITY; ENTERPRISES; MANAGEMENT;
    All these keywords.

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure

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