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Full-Text Articles in Labor Relations
Organizational Performance In Services, Rosemary Batt, Virginia Doellgast
Organizational Performance In Services, Rosemary Batt, Virginia Doellgast
Rosemary Batt
The question of performance in service activities and occupations is important for several reasons. First, over two-thirds of employment in advanced economies is in service activities. Second, productivity growth in services is historically low, lagging far behind manufacturing, and as a result, wages in production-level service jobs remain low. In addition, labor costs in service activities are often over 50% of total costs, whereas in manufacturing they have fallen to less than 25% of costs. This raises the question of whether management practices that have improved performance in manufacturing, such as investment in the skills and training of the workforce, …
Performance And Growth In Entrepreneurial Firms: Revisiting The Union-Performance Relationship, Rosemary Batt, Theresa M. Welbourne
Performance And Growth In Entrepreneurial Firms: Revisiting The Union-Performance Relationship, Rosemary Batt, Theresa M. Welbourne
Rosemary Batt
[Excerpt] A substantial body of research has examined the relationship between unions and firm performance. It generally has found a positive relationship between unions and productivity and a negative relationship between unions and financial performance (Freeman & Medoff, 1984; Addison & Hirsch, 1989; Belman, 1992; Freeman, 1992). The exit/voice model is most commonly used to explain this paradox (Freeman & Medoff, 1984). Freeman and Medoff argued that the “monopoly power” of unions leads to high union wages and restrictive work rules, both of which raise the costs of production and lower profit margins. The presence of unions, however, also lowers …