THE IMPACT OF FINAL-OFFER ARBITRATION ON WAGE OUTCOMES OF PUBLIC SAFETY PERSONNEL: MICHIGAN vs ILLINOIS
MARIE D. CONNOLLY
AbstractOutcomes under final-offer arbitration (FOA) were studied to test whether an FOA environment leads to above average wage levels. Because compulsory arbitration laws are state laws, thereby influencing all bargaining units within the state, an interstate comparison is made. The results indicate that wages in Michigan, an FOA state, are approximately 5 percent greater than comparable public sector salaries for public safety personnel in Illinois, a nonarbitration state.
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