The impact of uniojiza1ion on negotiated wages in the manufacturing sector In kenya

Abstract

The paper examines a large number of wage agreements between emloyers and trade unions in Kenya's manufacturing sector. An attemp is made to explain inter-firm negotiated wages for unskilled labour with the aid of multiple regression analysis. In particular an assesment is made of the impact of unionization on wages. The paper has moderate success in explaining inter-firm unskilled wages and the most significant explanatory variable are industry profitability the degree of industry concentration and firm size. The hypothesis that unionization has any differential impact on wage rates firms is rejected