ABSTRACT
Since the late 1970s, economic studies have explored the possibility of a positive union impact on output and employment. In particular, debate has flourished around Freeman and Medoff’s (1984) hypothesis of collective voice, which argues that unions provide a grievance mechanism for employees to voice job dissatisfaction. This alternative to the individual response of exiting or quitting, is said to provide beneficial externalities to the firm, which counter, at least in part, the negative effects traditionally associated with unionism.
