Using a representative establishment data set for Germany, we show that more than 40 percent of plants covered by collective agreements pay wages above the level stipulated in the agreement, which gives rise to a wage cushion between the levels of actual and contractual wages. Cross-sectional...

In Germany, trade unions and employers associations play a role not only in wage determination but also in social affairs and labour law. While the majority of firms are organized in employers associations, less than one quarter of employees are members of a trade union. Both social partners...

Repräsentative Daten des IAB-Betriebspanels für das Jahr 2002 zeigen, dass im privaten Sektor fast die Hälfte der westdeutschen, aber nicht einmal ein Fünftel der ostdeutschen Betriebe mit Tarifbindung über Tarif entlohnen. Das Ausmaß der übertariflichen Entlohnung in diesen Betrieben...

The wage curve identified by Blanchflower and Oswald (1994) postulates that the wage level is a decreasing function of the regional unemployment rate. In testing this hypothesis, most empirical studies have not taken into account that differences in the institutional framework may have an impact...