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Decentralized Bargaining and the Greek Labour Relations Reform (Law 4024/2011)

Giannakopoulos, Nicholas and Laliotis, Ioannis (2017): Decentralized Bargaining and the Greek Labour Relations Reform (Law 4024/2011).

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Abstract

We investigate decentralized collective bargaining in Greece (2002-2016) under the industrial relations reform implemented in 2011. We match administrative data on firm-level contracts with non-participating firms to estimate determinants of decentralized bargaining before and after the reform. Decentralized bargaining increased in the post-reform period depending on firm size, industry and location. Nominal wage floors downgraded after 2011 in contacts signed by association of persons rather than trade unions. A base wage premium of 22 percent is found in favour of trade unions. Firm-level bargaining with trade unions is expected to promote decentralized bargaining with outcomes linked to firm-specific characteristics.

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