The<scp>G</scp>hent effect for whom? Mapping the variations of the<scp>G</scp>hent effect across different trade unions in<scp>D</scp>enmark

Abstract

Abstract The presence of an unemployment insurance system based on voluntary membership in unemployment insurance funds (known as the ‘ G hent system’) and a high union density has long been known and well documented, and even referred to as a special ‘ G hent effect’. However the G hent system, especially in the three classic G hent countries, F inland, S weden and D enmark, has come under significant pressure in recent years, and many researchers are referring to an erosion of the G hent system as a recruiting mechanism for trade unions. But prior research aimed at documenting the G hent effect seems to disregard variations in how strongly trade unions benefit from the G hent system as a recruiting mechanism. Hence, this article sets out to investigate whether all trade unions equally benefit from a G hent effect across different sectors and occupations by studying the D anish case. Unique survey data made it possible to map D anish wage earners' reasons for joining or leaving unemployment insurance funds and trade unions. The article finds that there are great variations among D anish trade unions in terms of how strongly they are dependent on a G hent effect as a recruiting mechanism. We may expect the same variations in the two other G hent countries, S weden and F inland, because the organisation of the G hent system is similar in the three Nordic countries. In addition, the article shows that this variation might help explain why some trade unions are on the rise to the detriment of others.