'Institutions and inequality in liberalized markets: A cross-national comparison'
Abstract
In recent decades, national governments in North America and Europe have liberalized service markets, with the aim of reducing prices, improving service quality, and enhancing competitiveness and innovation. While a number of studies have examined the effects of these changes on prices, efficiency, and operating performance, less is known about their effects on employees.
In this paper, we ask how national and sectoral institutions have influenced patterns of wage segmentation for service jobs in the telecommunications industry. The focus is on the former national monopoly service providers in eight countries: Austria, Denmark, France, Germany, Italy, Sweden, the UK, and the US. Based on archival data, collective agreements, and interviews with major stakeholders in each country, we compare restructuring strategies since the mid-1990s and their effects on wage levels and wage inequality. Historic data from collective agreements is used to compare trends over time in similar jobs across two occupational groups: call center employees and technicians.