Premium
Opting Out, Collective Contracts and Labour Flexibility: Firm‐Level Evidence for The Italian Case
Author(s) -
Damiani Mirella,
Pompei Fabrizio,
Ricci Andrea
Publication year - 2020
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.12510
Subject(s) - propensity score matching , productivity , collective bargaining , matching (statistics) , labour economics , economics , flexibility (engineering) , ordinary least squares , opting out , difference in differences , demographic economics , econometrics , macroeconomics , mathematics , statistics , management , keynesian economics
This article analyses the role of deviations from higher level collective agreements adopted in firm‐level bargaining to regain higher labour mobility, net positive employment effects and a resurgence of labour productivity. Using Italian firm‐level data, after performing preliminary pooled ordinary least squares and fixed effects estimates, we adopt a difference‐in‐difference approach combined with a propensity score matching. All the estimations show that opting out clauses notably increases both hiring and separations, but without significant variations in terms of net employment. In addition, no significant labour productivity gains are obtained. The only significant change concerns the increase in the share of temporary workers.