Is Compulsory Arbitration Compatible with Bargaining

1
Is Compulsory Arbitration Compatible with
Bargaining?

• Stevens (1966)
• Industrial Relations

2
Why have compulsory interest arbitration?

• Sometimes strikes are undesirable
• Police-workers
• Firefighters
• Health care workers
• Strike (or strike threats) work. Why?
• Can the threat of arbitration also work?

3
Costs of Arbitration

• Uncertainty costs
• Threat of arbitrator might, therefore, create a
  positive contract zone.
• What about different types of arbitration?
• Compromise (conventional)
• One-or-the-other (final-offer)
• Principles (social or economic principles)
• Main contribution is to give rise to a new type
  of arbitration now used in practice