The Long-Haul Effects of Interest Arbitration: The Case of New York State’s Taylor Law
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taylor law paper revised 12 15 09 (2).pdf
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Author(s) • • •
Kochan, Thomas Anton
Lipsky, David B.
NewHart, Mary
Benson, Alan M.
Date Issued
January 2010
Journal
Industrial and Labor Relations Review
Publisher
New York State School of Industrial and Labor Relations
Citation
Kochan, Thomas et al. "The Long Haul Effects of Interest Arbitration: The Case of New York State's Taylor Law." Industrial & Labor Relations Review, 63:4 (2010).
Version
Author's final manuscript
Abstract
The authors examine debates about the effects of mandatory interest arbitration on police and firefighters in New York State under the Taylor Law from 1974 to 2007. Comparing experience with interest arbitration in the first three years after the law was adopted with experiences from 1995 to 2007, the authors find that no strikes occurred under arbitration and that rates of dependence on arbitration declined considerably. Moreover, the effectiveness of mediation prior to and during arbitration remained high, the tripartite arbitration structure continued to foster discussion of options for resolution among arbitration panel members, and wage increases awarded under arbitration matched those negotiated voluntarily by the parties. Econometric estimates of the effects of interest arbitration on wage changes in a national sample suggest wage increases differed little in states with arbitration from those without it. The authors therefore propose a role for interest arbitration in national labor policy.
MIT Department
Sloan School of Management
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Creative Commons Attribution-Noncommercial-Share Alike 3.0
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DOI of Published Version
http://digitalcommons.ilr.cornell.edu/ilrreview/vol63/iss4/1/