Skip to main content
Article thumbnail
Location of Repository

Signals and cycles productivity growth and changes in union status in British companies

By Paul Gregg, Stephen Machin and David Metcalf


Productivity growth in 329 companies (total employment = 1.96 million workers) is analysed for the period 1984-1989. The study breaks new ground by (i) analysing the impact of changes in union status - such as repudiation of a closed shop or derecognition - on productivity growth; (ii) examining the impact of interactions among product market and industrial relations variables on companies'' productivity changes; (iii) including companies in the service sector as well as in manufacturing. The results suggest no difference in productivity growth between union and non-union companies over the years 1984-7. But in 1988 and 1989 unionised companies experienced faster productivity growth than their non-union counterparts. This wedge in productivity growth over non-union companies was twice as large in companies where there had been a diminution in union status compared with companies where union status was unchanged. The results probably reflect both the signal that management has (re-)asserted its prerogatives and cycles in union effects shaped by the intertemporal behaviour of the economic cycle

Topics: HD Industries. Land use. Labor
Publisher: Centre for Economic Performance, London School of Economics and Political Science
Year: 1991
OAI identifier:
Provided by: LSE Research Online
Download PDF:
Sorry, we are unable to provide the full text but you may find it at the following location(s):
  • (external link)
  • (external link)
  • Suggested articles

    To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.