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National Labour Relations in Internationalized MarketsA Comparative Study of Institutions, Change and Performance$
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Franz Traxler, Sabine Blaschke, and Bernhard Kittel

Print publication date: 2001

Print ISBN-13: 9780198295549

Published to Oxford Scholarship Online: October 2011

DOI: 10.1093/acprof:oso/9780198295549.001.0001

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The Levels of Bargaining

The Levels of Bargaining

Chapter:
(p.112) 9 The Levels of Bargaining
Source:
National Labour Relations in Internationalized Markets
Author(s):

Franz Traxler

Sabine Blaschke

Bernhard Kittel

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780198295549.003.0009

The bargaining level, which refers to where wages are formally set, in reference to the degree of (de)centralization, is a key aspect of bargaining structure. Measures of centralization evidently rely on the notion that centralization is proportional with the range of a bargaining domain in terms of the number of employers and employees covered. Also, practical complexity has to be considered in measuring bargaining levels. This chapter introduces the notion of organized decentralization wherein there is a negative correlation between employee coverage and the impact on real wages; lower levels cover fewer employees but have more influence on actual wages. This chapter identifies four patterns of country developments and discusses its implications on (de)centralization and on bargaining levels.

Keywords:   bargaining level, centralization, decentralization, domain, employers, employees, wages

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