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DO UNIONIZED FIRMS HAVE BETTER MANAGEMENT PRACTICES?

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Abstract

I use unique and innovative survey methodology from World Management Survey (WMS) to collect management practices and union density data from over 10,000 private manufacturing firms across Latin America, North America, and Europe. While it is understood that management practices are highly correlated with firm performance and productivity (Bloom and Van Reenen 2007), the role of labor unions in the adoption of better management practices has yet to be explored. In this paper, I find that unionized firms are significantly better managed. However, looking at the managerial practices in detail, unionized firms have weak People management practices (hiring, firing, and promoting system). In contrast, unionized firms have strong Operations (lean manufacturing implementation), Monitor (performance review and tracking), and Target (setting the right goal and tracking right outcomes) management practices.

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Description

39 pages

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Date Issued

2022-05

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Sector

Employer

Union

Union Local

NAICS

Number of Workers

Committee Chair

Basu, Arnab K.

Committee Co-Chair

Committee Member

Forman, Chris

Degree Discipline

Applied Economics and Management

Degree Name

M.S., Applied Economics and Management

Degree Level

Master of Science

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Government Document

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Attribution-NoDerivatives 4.0 International

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dissertation or thesis

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