The effect of changes in public sector bargaining laws on teacher union membership

Abstract

This study uses a simple model of demand for and supply of union services to analyse the effect of public sector bargaining laws on teacher unionization. Relying on a nationally representative dataset covering 2001–2018, I exploit natural experiments that occurred in several US states to identify the effect of legal and institutional changes weakening collective bargaining rights of teachers on their union membership rate. Based on both difference‐in‐difference estimation and synthetic control method, I find that the new legislation significantly reduces teachers’ union membership and that the impact of the anti‐union bills on unionization evolves, growing in magnitude, over time. I also find that the magnitudes of the impacts are greater for female, younger and minority teachers.