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The article reviews the book, The Origins and Evolution of the Field of Industrial Relations in the United States, by Bruce E. Kaufman.
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In industrialized economies, unemployment rates are inversely related to education levels. Data from 1963 to 1994 show that Israel is an anomaly exhibiting an inverted U-shaped relationship. Workers with 9-12 years of schooling consistently experienced a higher level of unemployment than the schooling groups with less and more education. Multivariate regression analysis of data for Israel during the 1976-1994 period indicates that this inverted U-shaped relationship is moderating. The national unemployment rate and a time trend variable had positive and significant effects tending to strengthen the inverted U-shaped relationship. However, an increase in the unemployment rate within the 0-8 education group relative to the 9-12 group and a decline in the labor force participation rate of the 0-8 group overrode these factors, resulting in a flattening of the inverse relationship. The major factor responsible for the anomaly in the education-unemployment relationship in Israel appears to be government policies intended to protect low-educated immigrants with large families. A reduction in government support over recent years seems to have increased the exposure of the least educated to labor market forces.
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In response to the 1981-1982 recession and demands for concessions, the United Auto Workers (UAW) accepted contracts that shifted away from the 3-decades-old annual improvement factor and included profit-sharing plans. In Canada, the Canadian branch of the UAW negotiated wage increases that differed from those in the US and that did not include profit sharing. The impact of the different negotiating approaches are examined by comparing the earnings of auto assembly workers at General Motors (GM), Ford, and Chrysler in the US and Canada from 1980 to 1989. It is found that, in terms of direct monetary earnings alone, from 1982 to 1989, American auto workers received less than their Canadian counterparts. In current dollars, the cumulative difference in pay between 1982 and 1989 for US and Canadian auto workers was $13,402 at GM, $1,755 at Ford, and $8,721 at Chrysler.
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A study presents a quantitative retrospective evaluation of 3 Canadian occupational projections covering the period of 1961 to 1981 in an attempt to assess their usefulness as a guide to education and training policies. Using appropriately adjusted, detailed occupational data from the 1961, 1971, and 1981 Canadian censuses, the results indicate that for broad categories, such projections do appear to provide reasonable results. For the major occupational groups, all 3 projections were within a range of plus or minus 10% of the ex post actual employment for the majority of the groups. As might be expected, the projection accuracy declined as the occupational detail increased. However, these ex post evaluations do suggest that a variable coefficients model can provide useful additional information for occupational projections. The results do not suggest that it is possible to simply take on faith the results of any occupational projection.