Union Decline in a Neoliberal Age : Globalization, Financialization, European Integration, and Union Density in 18 Affluent Democracies

Abstract

This paper examines the long-run effects of globalization, financialization, and European integration on union density in 18 affluent capitalist democracies between 1981 and 2010. After appropriate controls, imports from developing and imports from advanced countries and financialization negatively affect, and capital mobility positively affects, unionization. Immigration has no consistent effect on unionization. Also, European integration—measured as logged years of membership in the European Union (EU)—negatively affects unionization. Interactions of EU membership with globalization and financialization variables reveal a complicated pattern with distinctive effects for EU and non-EU countries. Overall, our findings contribute to the ongoing stream of scholarly research about the causes of union decline among affluent democratic countries in the neoliberal period.