TY - CEPII
A1 - Bastien Alvarez A1 - Gianluca Orefice A1 - Farid Toubal
TI - Trade Liberalization, Collective Bargaining and Workers: Wages and Working Conditions
IS - 2022-02
T3 - Working Papers
KW - Trade Liberalization KW - Working Conditions KW - Wages KW - Labor Market Institutions KW - Eastern Europe
N2 -
Using large scale data on Eastern European workers, we show significant and sizable deteriorations of their wages and working conditions in regions that faced large tariff liberalization and strong erosion of collective bargaining over the process of accession to the European Union. Import tariffs liberalization reduces workers' wages. The deterioration of working conditions is mostly driven by increased labor demand due to the improvement of Eastern countries' international market access. The erosion of collective bargaining worsens wages and working conditions.