This paper investigates the development of trade union membership in Austri
a und its determining factors. The proportion of labor organized in unions
has been falling more or less steadily in Austria since World War II; since
1981 membership has been decreasing as well. A rather widely employed expl
anation for changes in trade union membership focuses on shifts in the stru
cture of employment. This approach is examined for the Austrian case by app
lying a shift share analysis for the period 1970-1995. The results show tha
t changes in the structure of employment can explain a large part of the de
cline in union membership. After 1980 there is growing lack of explanation,
which indicates the occurrence of additional negative factors in union mem
bership in the 1980s.