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The Mandatory-Permissive distinction and collective bargaining outcomes PowerPoint PPT Presentation

The Mandatory-Permissive distinction and collective bargaining outcomes Delaney and Sockell (1989) Industrial and Labor Relations Review Mandatory-Permissive subjects Key differences between categorizations Mandatory Must be negotiated Can be cause to strike/lockout legally Permissive

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The Mandatory-Permissive distinction and collective bargaining outcomes

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The mandatory permissive distinction and collective bargaining outcomes l.jpg

The Mandatory-Permissive distinction and collective bargaining outcomes

Delaney and Sockell (1989)

Industrial and Labor Relations Review


Mandatory permissive subjects l.jpg

Mandatory-Permissive subjects

  • Key differences between categorizations

    • Mandatory

      • Must be negotiated

      • Can be cause to strike/lockout legally

    • Permissive

      • Need not be negotiated

      • Unilateral changes can be made

    • Do negotiations bias away from perm. Items?

    • Are duplicitous negotiations used?


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Contract Data Analysis

  • Items classified as permissive

    • Labor-man. Committees

    • Point productivity committees

    • Wage garnishment

  • 16% of contracts had permissive issues

  • Mand/Perm issues index calculated

  • Bargaining over mandatory issues apparently similar over subsamples

    • More union power needed for favorable outcomes on permissive issues.


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Laboratory Experiment

  • Three contract issues used

    • Hourly pay

    • % workers guaranteed employment

    • Advertising expenditures

  • Different treatments described each of these topics as mandatory, permissive, or unknown to MBA student subjects.

  • Results shown in Table 3

    • Unknown status hurts union outcome

    • Permissive status hurts union outcome


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Why Care?

  • NLRB determines status of issues

  • Changes in legal status may also add uncertainty as to the status of an issue

  • This may affect bargaining outcomes


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