Bt. Hirsch, TRUCKING DEREGULATION AND LABOR EARNINGS - IS THE UNION PREMIUM A COMPENSATING DIFFERENTIAL, Journal of labor economics, 11(2), 1993, pp. 279-301
This article examines wage determination among union and nonunion truc
k drivers using the 96 monthly Current Population Surveys for 1983-90.
Union density in the previously regulated for-hire sector of the truc
king industry fell from about 60% during the regulatory period of the
1970s to about 25% by 1990. Union log wage premiums fell from 0.40 in
the 1970s to 0.30 or below in the 1980s. Longitudinal estimates from m
ultiple panels for 1983-84 through 1989-90 suggest far smaller union p
remiums, supporting the thesis that part of the wage differential foll
owing deregulation is a compensating premium for driver quality.