Unions and Automation Risk: Who Bears the Cost of Automation?
In: The B.E. journal of economic analysis & policy, Band 23, Heft 3, S. 843-851
Abstract
Abstract
Automation creates winners and losers. By examining establishment-level panel data, we explore how labour unions affect labor adjustment associated with automation. Although automation can increase new hires of junior and unskilled production workers, the presence of labour unions neutralizes these effects. The results suggest that labour unions have incentives to protect incumbent workers negatively affected by automation.
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