Trade, Wages, and Collective Bargaining: Evidence from France

65 Pages Posted: 22 Jul 2014

See all articles by Juan Carluccio

Juan Carluccio

Banque de France; Paris School of Economics

Denis Fougère

National Center for Scientific Research (CNRS); CNRS and SCIENCES PO PARIS; IZA Institute of Labor Economics; Centre for Economic Policy Research (CEPR)

Erwan Gautier

Banque de France - Centre de Recherche

Date Written: July 2014

Abstract

Using a unique French firm-level dataset, we study how international trade affects the wage bargaining process at the firm level. Using instrumental variables techniques, we find that exports shocks have a positive effect on the probability that a firm-level wage agreement is signed, while shocks increasing imports of finished goods have the opposite effect. Exports increase wages for all occupational categories, whereas offshoring has heterogeneous effects. In firms where wage agreements are frequently signed, the export wage premium is larger, and blue-collar workers are protected against the negative impact of offshoring on wages.

Keywords: trade, wages, collective bargaining

JEL Classification: F16, J51, E24

Suggested Citation

Carluccio, Juan and Fougere, Denis and Fougere, Denis and Gautier, Erwan, Trade, Wages, and Collective Bargaining: Evidence from France (July 2014). Banque de France Working Paper No. 498, Available at SSRN: https://ssrn.com/abstract=2469169 or http://dx.doi.org/10.2139/ssrn.2469169

Juan Carluccio (Contact Author)

Banque de France ( email )

Paris
France

Paris School of Economics ( email )

48 Boulevard Jourdan
Paris, 75014 75014
France

Denis Fougere

National Center for Scientific Research (CNRS)

3, rue Michel-Ange
Paris cedex 16, 75794
France

CNRS and SCIENCES PO PARIS ( email )

28 rue des saints peres
Paris, 75007
France
+33149543764 (Phone)
75007 (Fax)

HOME PAGE: http://https://www.sciencespo.fr/osc/fr/node/1609.html

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Centre for Economic Policy Research (CEPR) ( email )

London
United Kingdom

Erwan Gautier

Banque de France - Centre de Recherche ( email )

31 rue Croix des Petits Champs
75049 Paris Cedex 01
France

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