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The Determinants of Firm Performance: Unions, Works Councils, and Employee Involvement/High Performance Work Practices

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  • Addison, John T.

    (Durham University Business School)

Abstract

Drawing on evidence from the United States and Germany, this paper offers a survey of the effects of worker representation (in unions and works councils) and innovative work practices on firm performance. The focus is on the growing links between these two historically separate literatures. The interaction between worker representation and high performance work practices provides a practical means of peering inside the black box of collective voice, even if there is as yet no well-determined hierarchy for productivity performance and certainly no blue-print for the future of unions.

Suggested Citation

  • Addison, John T., 2005. "The Determinants of Firm Performance: Unions, Works Councils, and Employee Involvement/High Performance Work Practices," IZA Discussion Papers 1620, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp1620
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    More about this item

    Keywords

    firm/establishment performance; worker representation; employee involvement mechanisms; innovative work practices; training;
    All these keywords.

    JEL classification:

    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects
    • J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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