Abstract
This article studies how decentralization of wage bargaining from sector to firm level influences wage levels and wage dispersion. We use detailed panel data covering a period of decentralization in the Danish labor market. The decentralization process provides variation in the individual worker's wage-setting system that facilitates identification of the effects of decentralization.We find a wage premium associated with firm-level bargaining relative to sector-level bargaining and that the return to skills is higher under the more decentralized wage-setting systems. Using quantile regression, we also find that wages aremore dispersed under firm-level bargaining compared tomore centralized wage-setting systems.
| Originalsprog | Engelsk |
|---|---|
| Tidsskrift | Journal of Labor Economics |
| Vol/bind | 31 |
| Udgave nummer | 3 |
| Sider (fra-til) | 501-533 |
| Antal sider | 33 |
| ISSN | 0734-306X |
| DOI | |
| Status | Udgivet - jul. 2013 |