TY - JOUR
T1 - Profit sharing, firm performance and union influence in selected European countries
AU - D'Art, Daryl
AU - Turner, Thomas
PY - 2004
Y1 - 2004
N2 - Schemes of profit sharing and employee share-holding have a 19th century origin. The objects of profit sharing vary according to its proponents. The primary focus of this paper will be on managerial schemes of financial participation and the expectations that their installation mil lead to an improvement in organizational performance and employee behaviour. Using a survey of 2,827 private sector firms in 11 European countries we test for the effect of profit sharing on profitability, productivity and employee turnover and absenteeism. In addition, the effect of profit sharing on union influence is examined. In common, with other research in this area, our results show that while there is some evidence of a positive relationship between profit sharing and organizational performance, this was not definitive. In the case of union influence, there was some evidence of an adverse effect of these schemes on the solidarity of the collective.
AB - Schemes of profit sharing and employee share-holding have a 19th century origin. The objects of profit sharing vary according to its proponents. The primary focus of this paper will be on managerial schemes of financial participation and the expectations that their installation mil lead to an improvement in organizational performance and employee behaviour. Using a survey of 2,827 private sector firms in 11 European countries we test for the effect of profit sharing on profitability, productivity and employee turnover and absenteeism. In addition, the effect of profit sharing on union influence is examined. In common, with other research in this area, our results show that while there is some evidence of a positive relationship between profit sharing and organizational performance, this was not definitive. In the case of union influence, there was some evidence of an adverse effect of these schemes on the solidarity of the collective.
KW - Company performance
KW - Company profit sharing schemes
KW - Trade unions
UR - http://www.scopus.com/inward/record.url?scp=2042439055&partnerID=8YFLogxK
U2 - 10.1108/00483480410528869
DO - 10.1108/00483480410528869
M3 - Review article
AN - SCOPUS:2042439055
SN - 0048-3486
VL - 33
SP - 335
EP - 350
JO - Personnel Review
JF - Personnel Review
IS - 3
ER -