Industrial Relations

The Impact of Collective Bargaining Coverage on Labour Income

What is the impact of collective bargaining coverage on labour income shares?According to the ILO, higher collective bargaining coverage tends to yield larger labour income shares.

The chart, reproduced from ILOSTAT’s latest article delving deeper into collective bargaining, illustrates this positive relationship with data for 99 countries, categorized by institutional setting (the level at which collective bargaining occurs). Countries with multi-employer bargaining generally have higher rates.

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