Abstract
This study carries out an empirical analysis of the effects of trade union on pay structures for the production workers in the mid-2000s in Korea, using the first two rounds of the Korean Workplace Panel Data. Its statistical models are logit models with the adoption of seniority-based, skill-based, job-based, merit-based pays, and profit sharing as their dependent variables. Results of this study indicate that trade unions retain influences on pay structures even in the stagnated period. The dominant pay structure for the production workers is the seniority-based pay in both the unionized and the non-unionized sectors, and trade unions have positive effects on the existence of the seniority-based pay. Surprisingly the seniority-based pay has institutional resilience in that it increases back even in the non-unionized sector. The most prominent trend of pay structures in the mid-2000s is the diffusion of the performance-based pay, and trade unions have negative effects on the individualized performance pay. Skill-based and job-based pays are adopted in some firms, but their adoption are not affected by trade unions. Finally KFTU-affiliated unions have the highest effects on the pay structures changes and independent unions have the least.
Translated title of the contribution | Trade Union and Pay Structures for Production Workers in the Mid-2000s |
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Original language | English |
Pages (from-to) | 123-151 |
Number of pages | 29 |
Journal | 산업관계연구 |
Volume | 21 |
Issue number | 3 |
State | Published - Sep 2011 |