%0 Report %A Goerke, Laszlo %A Pannenberg, Markus %T Trade Union Membership and Dismissals %D 2010 %8 2010 Sep %I Institute of Labor Economics (IZA) %C Bonn %7 IZA Discussion Paper %N 5222 %U https://www.iza.org/publications/dp5222 %X In Germany, there is no trade union membership wage premium, while the membership fee amounts to 1% of the gross wage. Therefore, prima facie, there are strong incentives to free-ride on the benefits of trade unionism. We establish empirical evidence for a private gain from trade union membership which has hitherto not been documented: in West Germany, union members are less likely to lose their jobs than non-members. In particular, using data from the German Socio-Economic Panel we can show that roughly 50% of the observed raw differential in individual dismissal rates can be explained by the estimated average partial effect of union membership. %K dismissal %K free-riding %K trade union membership %K survey data