Labor Unions in the Public Sector

Labor Unions in the Public Sector

2020
2020

This project addresses the unique model of organized work in the Israeli labor market and the role of labor unions in government companies that constitute a monopoly in their field in the Israeli economy. As a case study for this issue, the IEP examined how organized work in seaports affects Israel economy, both in terms of the degree of intra-Israeli competition and as a player in the international arena. In this context, the IEP examined the effects of labor unions’ power on the managerial flexibility at public seaports, port productivity and the prevailing salary levels in government port companies in Israel. The results indicate that a rigid model of unions leads to proven inefficiency in government companies, high salaries for poor performance and lack of managerial flexibility leading to managerial failures.

This project addresses the unique model of organized work in the Israeli labor market and the role of labor unions in government companies that constitute a monopoly in their field in the Israeli economy. As a case study for this issue, the IEP examined how organized work in seaports affects Israel economy, both in terms of the degree of intra-Israeli competition and as a player in the international arena. In this context, the IEP examined the effects of labor unions’ power on the managerial flexibility at public seaports, port productivity and the prevailing salary levels in government port companies in Israel. The results indicate that a rigid model of unions leads to proven inefficiency in government companies, high salaries for poor performance and lack of managerial flexibility leading to managerial failures.