What Do Unions Do in Japan?
نویسندگان
چکیده
This paper examines the union premium in wages and overall compensation packages, using a new, nationally representative Japanese micro data set that records individuals’ union status. We find a robust union wage premium for both males and females. An Oaxaca-Blinder decomposition reveals that about one third of union workers’ higher wage is explained by the difference in the wage structures of the union and nonunion sectors. We also can confirm the union-wage compression effect using the DiNardo, Fortin, and Lemieux (1996) method. Union workers are likely to think that they would not find jobs with similar compensation packages if they were to leave their current jobs. In sum, unions in Japan contribute to the transfer of rent from firms to workers, and this rent is evenly distributed among workers.
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