Working Paper: NBER ID: w1367
Authors: Casey Ichniowski
Abstract: This study documents a significant inverse relationship between grievance rates and productivity. It is argued in the theoretical model in the paper that this significant inverse relationship reflects greater discrepencies between reported and effective labor hours as grievance rates increase. Agrievance-free plant is some 1.3% more productive and up to i6.y% more profitable than when the plant operates with an average rate of grievances, so that industrial relations performance can critically influence the performance of the firm.
Keywords: grievance rates; productivity; industrial relations; labor studies
JEL Codes: J53; J24
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| grievance rates (J52) | productivity (O49) |
| grievance rates (J52) | discrepancies between reported and effective labor hours (J22) |
| discrepancies between reported and effective labor hours (J22) | productivity (O49) |
| grievance rates (J52) | labor efficiency (J89) |
| nonunion firm (J50) | average grievance rate (J52) |