Municipal Employment, Municipal Unions, and Demand for Municipal Services
NBER Working Paper No. 1728
Municipal unions may often use their own votes and those of sympathetic fellow citizens to promote increases in demand for municipal services. If successful, this strategy can increase member employment levels without sacrificing compensation. Municipal employee unionization significantly increases levels of annual manhours and employment per capita, and reduces annual hours of workper employee. The net effect of average unionization levels is to increase employees per capita by at least 4.7%, and manhours per capita by at least 3.3%, over levels that would prevail in the absence of municipal unions. These effects occur almost entirely in functions withr ecognized bargaining units. In these functions, employment levels are at least 9.9% higher than they would be in the absence of unionization.
Published: Industrial Relations, vol 82, no.1, pp21-31, Winter 1989.