Consequences of work force reduction: Some employer and union evidence

Despite the popularity of workforce cutbacks in the 1990s, large-scale empirical studies at the bargaining unit level are mrp. I explore some of the consequences of permanent workforce reduction using data from both employer:rr and union respondents. About 56 percent of employer participants and 57 percent of local union officials reported a permanent reduction of bargaining unit employees In comparing bargaining units that experienced a permanent reduction of union members. results obtained from both employers and union officials indicated a significant negative impact on over all employee satisfaction and labor climate. Additional analyses with union respondents revealed that the reduction of bargaining unit employees was also associated with a higher rate of grievances and absenteeism and poorer relations between union members and their supervisors.