Union Formation and Bargaining Rules in the Labor Market
ISSN: 1988-088X
Année de publication: 2005
Número: 7
Type: Working Paper
D'autres publications dans: DFAE-II WP Series
Résumé
This paper analyzes union formation in a model of bargaining between a .firm and several unions. We address two questions: .first, the optimal configuration of unions (their number and size) and, second, the impact of the bargaining pattern (simultaneous or sequential). For workers, grouping into several unions works as a price discrimination device which, at the same time, decreases their market power. The analysis shows that optimal union configuration depends on the rules that regulate the bargaining process (monopoly union, Nash bargaining or right to manage).