Job Satisfaction and Trade Union Membership in Germany

51 Pages Posted: 2 Aug 2022 Last revised: 5 Oct 2022

See all articles by Laszlo Goerke

Laszlo Goerke

University of Trier - Institute of Labour Law and Industrial Relations in the European Union; CESifo (Center for Economic Studies and Ifo Institute); IZA Institute of Labor Economics

Yue Huang

IAAEU - Trier University

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Abstract

Using panel data from 1985 to 2019, we provide the first comprehensive investigation of the relationship between trade union membership and job satisfaction in Germany. Cross-sectional analyses reveal a negative correlation, while fixed effects estimates indicate an insignificant relationship. This is also true if we incorporate information on collective bargaining coverage or the existence of works councils in subsamples for which this data is available.To address the endogeneity of union membership, we generate information on the union density individuals faced in their industry and region. This time-variant IV suggests no causal impact of individual union membership on job satisfaction. Finally, using different estimation models, we investigate whether the effects vary by gender, age, birth year, and employment status.

Keywords: exit-voice framework, German socio-economic panel, instrumental variable, job satisfaction, sorting, trade union membership

JEL Classification: I31, J28, J51

Suggested Citation

Goerke, Laszlo and Huang, Yue, Job Satisfaction and Trade Union Membership in Germany. IZA Discussion Paper No. 15459, Available at SSRN: https://ssrn.com/abstract=4178935

Laszlo Goerke (Contact Author)

University of Trier - Institute of Labour Law and Industrial Relations in the European Union ( email )

Behringstraße 21, 7. Floor, Building H
Trier, 54296
Germany

HOME PAGE: http://www.iaaeu.de/

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

IZA Institute of Labor Economics

Schaumburg-Lippe-Str. 7 / 9
Bonn, D-53072
Germany

Yue Huang

IAAEU - Trier University ( email )

Behringstr. 21
Campus II, Building H, 7. Floor
Trier, DE 54296
Germany

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