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Paid and Unpaid Labour in Non‐Profit Organizations: Does the Substitution Effect Exist?
Author(s) -
Bittschi Benjamin,
Pennerstorfer Astrid,
Schneider Ulrike
Publication year - 2015
Publication title -
british journal of industrial relations
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.665
H-Index - 70
eISSN - 1467-8543
pISSN - 0007-1080
DOI - 10.1111/bjir.12071
Subject(s) - labour economics , substitution effect , profit (economics) , business , competition (biology) , economics , demographic economics , microeconomics , ecology , biology
In non‐profit organizations ( NPOs ), volunteers often work alongside paid workers. Such a co‐production setting can lead to tension between the two worker groups. This article examines for the first time if and how volunteers influence the separation of paid employees, and thus it contributes to the debate over whether volunteers can substitute paid workers. Using A ustrian data at the organizational level, we find a significant impact of volunteers on the separations of paid workers in NPOs facing increased competition. These findings support the assumption that a partial substitution effect exists between paid workers and volunteers.