Affiliation:
1. Universität Tübingen, Germany
2. Fraunhofer IAO Stuttgart, Germany
Abstract
This article examines the impact of national industrial relations institutions on pay movements in Britain and Germany between 1980 and 2000. Pay increases are slightly higher in Britain, despite the breakdown of multi-employer bargaining and agreements in the UK and their persistence in Germany. Evidence shows that pay decisions in Britain are mainly determined by imitation and not by markets. The article suggests that a system of ‘pay benchmarking’ in Britain acts as a substitute for the German ‘sectoral agreement model’ and explains similarities in pay movements.
Subject
Management of Technology and Innovation,Organizational Behavior and Human Resource Management,Strategy and Management,General Business, Management and Accounting
Cited by
9 articles.
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