Journal
HUMAN RIGHTS REVIEW
Volume -, Issue -, Pages -Publisher
SPRINGER
DOI: 10.1007/s12142-023-00706-3
Keywords
Collective labor rights; Redistribution; Vertical inequality; Horizontal inequality; Unions
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This paper explores the relationship between labor rights and wage inequalities, specifically vertical inequality and horizontal inequality. The study finds that improving labor rights leads to a decrease in horizontal inequality, as well as reducing individual levels of inequality.
Competing arguments surrounding the relationships between inequalities and labor rights have persisted over time. This paper explores whether labor rights increase or decrease two types of wage inequalities: vertical inequality and horizontal inequality. Vertical inequalities reflect inequalities in wealth or income between individuals, while horizontal inequalities reflect inequalities between social, ethnic, economic, and political groups which are usually culturally defined or socially constructed. By broadening the scope beyond traditional indicators of inequality (i.e., vertical inequality) to include horizontal inequality, we test whether government respect for labor rights can help reduce inequality. We find that as labor rights and practices improve, countries see a decrease in horizontal inequality. Furthermore, as stronger protections for labor rights improve within countries, this also serves to reduce individual levels of inequality (i.e., vertical inequality).
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