ILR Review

The author estimates the impact of compulsory election laws on certification success using data on over 6,500 private sector certifications from British Columbia over the years 1978–98. A unique quasi-experimental design is used by exploiting two changes in the union recognition law: first, in 1984, the introduction of mandatory elections; and second, in 1993, the repeal of elections and their replacement by the original card-check procedure. The author also estimates the effectiveness of management opposition tactics across union recognition regimes. Success rates declined by an average of 19 percentage points during the voting regime, and then increased by about the same amount when card-checks were re-instituted. The results indicate that the mandatory election law can account for virtually the entire decline. In addition, the findings suggest that management opposition was twice as effective under elections as under card-checks.

The authors examine a model of employee grievance activity that encompasses both workplace and labor market determinants and attempts to reconcile inconsistent findings in the literature by taking into account the possible moderating effects of labor power. A multi-level analysis of data from 1996–97 on 1,383 blue-collar workers suggests that labor market factors influenced grievance activity much less directly than workplace characteristics did, and that the nature of these influences was more complex than has previously been hypothesized. Specifically, consistent with power-dependence theory, the authors find that the direct effects of at least one labor market factor, the wage premium, were likely to be contingent on labor power, and that the labor market itself may have moderated the effects of certain workplace factors on employee grievance filing in a manner consistent with efficiency wage theory.

A key dynamic implication of the Becker model of discrimination (1957) is that increased product market competition will drive out costly discrimination in the long run. This paper tests that hypothesis by examining the impact of globalization on gender discrimination in manufacturing industries. Because concentrated industries face little competitive pressure, an increase in competition from trade should reduce the residual gender wage gap more in these industries than in competitive industries. The authors compare the change in the gender wage gap between 1976 and 1993 in concentrated versus competitive manufacturing industries, using the latter as a control for changes in the gender wage gap that are unrelated to competitive pressures. They find that while trade increases wage inequality by modestly reducing the relative wages of less-skilled workers, at the same time it appears to benefit women by reducing the ability of firms to discriminate.

Using a unique dataset based on individual Unemployment Insurance wage records for Illinois in the 1990s that are matched to other Census data, the authors analyze the extent to which escape from or entry into low earnings among adult workers was associated with changes in their employers and firm characteristics. The results show considerable mobility into and out of low earnings status, even for adults. They indicate that job changes were an important part of the process by which workers escaped or entered low-wage status, and that changes in employer characteristics help to account for these job changes. Matches between personal and firm characteristics also contributed to observed earnings outcomes.

The author uses a unique data set constructed from Florida General Education Development certificate (GED) and Unemployment Insurance (UI) administrative records to estimate the relative earnings of two groups of male high school dropouts who took the GED exams in 1995: those who passed the exams, obtaining the credential, and those who failed the exams. Estimates from several different specifications all show greater mean quarterly earnings growth among those who obtained a GED than among unsuccessful candidates. The advantage was small in dollar terms—only about $1,400 annually, six years after the exams—but, given the very low initial earnings of these school dropouts, it was large in relative terms, growing from zero immediately after the 1995 exams to 13–20% six years later. Most of these gains appear to reflect not differential wage growth between the two groups, but a differential rate of movement from non-employment to employment.

This study examines share price reactions to 231 work-family human resource policies adopted by Fortune 500 companies and announced in the Wall Street Journal between 1971 and 1996. Consistent with past research, the results suggest that firm announcements of work-family initiatives positively affected shareholder return. The authors also empirically test three hypotheses concerning how the timing of work-family initiatives influences shareholder reaction. They find that a pioneering company announcing the first-ever implementation of a work-family initiative was likely to realize a larger announcement-day share price increase than did later adopters of the same initiative; the first work-family announcement released by a firm influenced announcement-day share price more than did successive work-family announcements by the same firm; and share price reactions to work-family human resource decisions were not importantly affected by whether those decisions followed a gender discrimination suit.