Are Firms Stronger than Employees in Terms of Salary Bargaining Power? Evidence from China
Journal Title: Opportunities and Challenges in Sustainability - Year 2023, Vol 2, Issue 1
Abstract
This paper aimed to analyze the salary bargaining power of employees and firms. Based on two-tier stochastic frontier model, this paper constructed a model to measure the bargaining power of employees and firms in the salary formation process. Taking Chinese A-share listed companies from 2017 to 2021 in the China Stock Market & Accounting Research Database (CSMAR) of GTA as samples, this paper conducted an empirical measurement of the bargaining power of both parties and the impact on employee salary. The results showed that: (1) The bargaining power of both employees and firms had a very important impact on the final salary, and employees had stronger bargaining power compared with firms; (2) About 75% employees made their salary higher than “Benchmark” salary through bargaining. The employee salary was 8.46% higher than "Benchmark" salary on average. With the increase of salary level, employees had stronger bargaining power in the process of salary formation. (3) The bargaining power of employees and firms was heterogeneous in firms with different ownership in different years, but the bargaining power of employees was generally stronger than that of firms.
Authors and Affiliations
Jin Wang
Keywords
Related Articles
- EP ID EP732058
- DOI https://doi.org/10.56578/ocs020104
- Views 56
- Downloads 0
Incentives for Sustainability: Relationship Between Renewable Energy Use and Carbon Emissions for Germany and Finland
Green energy, a hot topic of recent energy studies, is any type of energy created using renewable resources, such as sunlight, wind, or water. Despite several variations between it and renewable energy, green energy typi...
Public Perceptions and Evaluations of Drinking Water Quality in Idaho: A 35-Year Survey Analysis
Water is regarded as the most critical natural resource in Idaho, with drinking water identified as its most essential aspect. To assess public perceptions and evaluations of drinking water quality, a survey instrument w...
Sustainable Consumption Behavior Measurement of Three Generations Using Descriptive Variables
Purpose: this study aimed at measuring the sustainable consumption behaviors of generations X, Y and Z using various descriptive variables. Methodology: the convenience sampling method was used for the data of this cross...
Environmental Regulation, Technological Progress and Carbon Emission Efficiency: An Empirical Analysis Based on Panel Data of Chinese Provinces
China faces the key issue of improving the efficiency of carbon emissions, in its endeavor of building a low-carbon economy and reducing carbon emissions. This paper adopts the super-slack-based measure (SBM) model with...
Developing a Sustainable Development Goals Research Hub among MERCOSUR’s Universities: A Case Study
The United Nations 2030 Agenda places universities as a hub of idea generators, which impulse and improve sustainable development. In the agenda, universities are considered vital to realizing the Sustainable Development...