Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives

This study examines whether a firm’s leverage can be used strategically to improve its bargaining position with an organized labor union using samples of non-financial firms listed on the Korean Stock Exchange (KSE) from 1999 to 2013. Through empirical testing, we find that the portfolio w...

Descripción completa

Guardado en:

Detalles Bibliográficos
Autores principales:	Choi,Chil Sun, Sohn,Pando, Seo,Ji-Yong
Lenguaje:	English
Publicado:	Universidad de Chile. Departamento de Economía 2016
Materias:	Leverage bargaining position union labor coverage static and dynamic models
Acceso en línea:	http://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-52862016000100003
Etiquetas:	Agregar Etiqueta Sin Etiquetas, Sea el primero en etiquetar este registro!

id	oai:scielo:S0718-52862016000100003
record_format	dspace
spelling	oai:scielo:S0718-528620160001000032016-07-22Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectivesChoi,Chil SunSohn,PandoSeo,Ji-Yong Leverage bargaining position union labor coverage static and dynamic models This study examines whether a firm’s leverage can be used strategically to improve its bargaining position with an organized labor union using samples of non-financial firms listed on the Korean Stock Exchange (KSE) from 1999 to 2013. Through empirical testing, we find that the portfolio with the lowest union labor coverage has the lowest leverage, while the portfolio with the highest union labor coverage has the highest leverage. We also find that collective bargaining power positively affects leverage through the regression of leverage on the bargaining power of the labor union, regardless of the analysis methods, such as static and dynamic models. With a robustness test model that used the industry adjusted labor union concentration index (IUCI), we obtain evidence that collective bargaining power positively influences leverage, which corresponds with the regression results. In conclusion, we suggest the existence of evidence demonstrating that variables related to labor unions affect leverage levels, as suggested in previous studies.info:eu-repo/semantics/openAccessUniversidad de Chile. Departamento de EconomíaEstudios de economía v.43 n.1 20162016-06-01text/htmlhttp://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-52862016000100003en10.4067/S0718-52862016000100003
institution	Scielo Chile
collection	Scielo Chile
language	English
topic	Leverage bargaining position union labor coverage static and dynamic models
spellingShingle	Leverage bargaining position union labor coverage static and dynamic models Choi,Chil Sun Sohn,Pando Seo,Ji-Yong Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
description	This study examines whether a firm’s leverage can be used strategically to improve its bargaining position with an organized labor union using samples of non-financial firms listed on the Korean Stock Exchange (KSE) from 1999 to 2013. Through empirical testing, we find that the portfolio with the lowest union labor coverage has the lowest leverage, while the portfolio with the highest union labor coverage has the highest leverage. We also find that collective bargaining power positively affects leverage through the regression of leverage on the bargaining power of the labor union, regardless of the analysis methods, such as static and dynamic models. With a robustness test model that used the industry adjusted labor union concentration index (IUCI), we obtain evidence that collective bargaining power positively influences leverage, which corresponds with the regression results. In conclusion, we suggest the existence of evidence demonstrating that variables related to labor unions affect leverage levels, as suggested in previous studies.
author	Choi,Chil Sun Sohn,Pando Seo,Ji-Yong
author_facet	Choi,Chil Sun Sohn,Pando Seo,Ji-Yong
author_sort	Choi,Chil Sun
title	Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
title_short	Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
title_full	Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
title_fullStr	Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
title_full_unstemmed	Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
title_sort	relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives
publisher	Universidad de Chile. Departamento de Economía
publishDate	2016
url	http://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-52862016000100003
work_keys_str_mv	AT choichilsun relationshipbetweenleverageandthebargainingpoweroflaborunionsevidencefromtheoreticalandempiricalperspectives AT sohnpando relationshipbetweenleverageandthebargainingpoweroflaborunionsevidencefromtheoreticalandempiricalperspectives AT seojiyong relationshipbetweenleverageandthebargainingpoweroflaborunionsevidencefromtheoreticalandempiricalperspectives
_version_	1714205047898767360

Relationship between leverage and the bargaining power of labor unions: evidence from theoretical and empirical perspectives

Ejemplares similares