Bryson, Alex, Dale-Olsen, Harald and Barth, Erling (2009) How does innovation affect worker well-being? CEP discussion paper, no. 953. Centre for Economic Performance, London School of Economics and Political Science, London, UK.
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We explore the effects of management innovations on worker well-being using private sector linked employer-employee data for Britain. We find management innovations are associated with lower worker well-being and lower job satisfaction, an effect which becomes more pronounced when we account for the endogeneity of innovation. This is the case for three different count measures of innovation – a global measure of innovation and measures for labour innovations and capital innovations. The effects are ameliorated when workers are covered by a collective bargaining agreement.
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