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Unions and Upward Mobility for Service-Sector Workers

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  • John Schmitt

Abstract

This report uses national data from the Current Population Survey (CPS) to show that unionization raises the wages of the typical service sector worker by 10.1 percent compared to their non-union peers. The study goes on to show that unionization also increases the likelihood that a service sector worker will have health insurance and a pension. The report also notes that workers with service jobs benefit as much from unionization as workers with manufacturing jobs.

Suggested Citation

  • John Schmitt, 2009. "Unions and Upward Mobility for Service-Sector Workers," CEPR Reports and Issue Briefs 2009-14, Center for Economic and Policy Research (CEPR).
    • Handle: RePEc:epo:papers:2009-14
    as

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    File URL: http://www.cepr.net/documents/publications/unions-service-2009-04.pdf
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    References listed on IDEAS

    as
    1. David G. Blanchflower & Alex Bryson, 2004. "What Effect Do Unions Have on Wages Now and Would Freeman and Medoff Be Surprised?," Journal of Labor Research, Transaction Publishers, vol. 25(3), pages 383-414, July.
    2. Heather Boushey & Shawn Fremstad & Rachel Gragg & Margy Waller, 2007. "Understanding Low-Wage Work in the United States," CEPR Reports and Issue Briefs 2007-09, Center for Economic and Policy Research (CEPR).
    3. John Schmitt, 2008. "Unions and Upward Mobility for Latino Workers," CEPR Reports and Issue Briefs 2008-28, Center for Economic and Policy Research (CEPR).
    4. Frank Levy & Peter Temin, 2007. "Inequality and Institutions in 20th Century America," NBER Working Papers 13106, National Bureau of Economic Research, Inc.
    5. John Schmitt, 2008. "The Union Wage Advantage for Low-Wage Workers," CEPR Reports and Issue Briefs 2008-17, Center for Economic and Policy Research (CEPR).
    6. Barry T. Hirsch & Edward J. Schumacher, 2004. "Match Bias in Wage Gap Estimates Due to Earnings Imputation," Journal of Labor Economics, University of Chicago Press, vol. 22(3), pages 689-722, July.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Komal Khalid & Samina Nawab, 2018. "Employee Participation and Employee Retention in View of Compensation," SAGE Open, , vol. 8(4), pages 21582440188, October.

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    More about this item

    Keywords

    unions; service sector; wages; benefits; pension;
    All these keywords.

    JEL classification:

    • J - Labor and Demographic Economics
    • J1 - Labor and Demographic Economics - - Demographic Economics
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J5 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining
    • J58 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Public Policy
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • J88 - Labor and Demographic Economics - - Labor Standards - - - Public Policy

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