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Union Membership does not pay: Evidence from recent French Micro Data

Author

Listed:
  • Mathieu Bunel

    (University of Caen Basse-Normandie - CREM UMR CNRS 6211, France)

  • Gilles Raveaud

    (Institut d’Etudes Européennes, Université Paris 8 Saint-Denis)

Abstract

We used a French employer–employee representative survey to estimate, within private firms covered by union contracts, the union member wage premium. Our estimates are based on several methods: ordinary least squares with averaged individual characteristics at the workplace level, the propensity score and separated equations. We found no wage penalty for free riders, except for blue collar and office workers. But even for these workers, the estimated wage premium is very small. Globally, in France, union membership does not seem to be motivated by monetary raisons. This situation could explain the low level of union membership observed.

Suggested Citation

  • Mathieu Bunel & Gilles Raveaud, 2012. "Union Membership does not pay: Evidence from recent French Micro Data," Economics Working Paper Archive (University of Rennes & University of Caen) 201232, Center for Research in Economics and Management (CREM), University of Rennes, University of Caen and CNRS.
  • Handle: RePEc:tut:cremwp:201232
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    References listed on IDEAS

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    More about this item

    Keywords

    Union wage premium; union membership; employer-employee data; propensity score method; separated equations method;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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