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Are Pro-Reformers Better Performers?

Author

Listed:
  • Tim R.L. Fry

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Kelly Jarvis

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Joanne Loundes

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

There appears to be widespread consensus in industry and government that a switch from centralized bargaining to an enterprise based system benefits productivity. However, research suggests that the link between bargaining structures and worker productivity is dubious and that empirical research has been unable to discover a relationship between them. In this paper we use data from Australian companies at the enterprise level and examine the links between performance and a range of human resources, industrial relations and management variables to determine whether bargaining structures do impact on performance. In particular, we investigate whether organisations that have incorporated aspects of the industrial relations reform agenda have outperformed organisations that have not. The results from the application of a treatment effects regression model show evidence that organisations adopting the industrial relations reform agenda report significantly higher levels of self-assessed labour productivity relative to their competitors, even after controlling for a number of different factors.

Suggested Citation

  • Tim R.L. Fry & Kelly Jarvis & Joanne Loundes, 2002. "Are Pro-Reformers Better Performers?," Melbourne Institute Working Paper Series wp2002n18, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2002n18
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    File URL: http://melbourneinstitute.unimelb.edu.au/downloads/working_paper_series/wp2002n18.pdf
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    References listed on IDEAS

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    2. Mark Wooden & Joanne Loundes & Yi-Ping Tseng, 2002. "Industrial Relations Reform and Business Performance: An Introduction," Melbourne Institute Working Paper Series wp2002n02, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
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    Cited by:

    1. Tim Fry & Kelly Jarvis & Joanne Loundes, 2003. "Industrial Relations Reform at the Enterprise and Workplace," Melbourne Institute Working Paper Series wp2003n07, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.

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    More about this item

    JEL classification:

    • J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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