Beyond Repeat Players: Experience and Employment Arbitration Outcomes in the Securities Industry
Managing and Resolving Workplace Conflict
ISBN: 978-1-78635-060-2, eISBN: 978-1-78635-059-6
Publication date: 19 July 2016
Abstract
Purpose
This chapter analyzes the extent to which more experienced employers, arbitrators, and attorneys fare better in securities industry arbitration. Although studies into experience have identified a so-called repeat-player effect on outcomes, I argue that more nuanced considerations of experience are required.
Methodology/approach
I empirically analyze all employment arbitration awards from the securities system’s inception through 2008. I separate experience into two categories (between- and within-group effects) and run hybrid random- and fixed-effects regressions modeling increasing employer, attorney, and arbitrator experience on arbitration outcomes.
Findings
I find that between-group experience affects awards but that within-group experience is nonsignificant, except in civil rights cases. This implies that so-called repeat players gain an advantage over inexperienced players due to their entity-specific characteristics, not necessarily by learning to use the system to their advantage. I conclude that, although the securities arbitration system suffers from power imbalances, there is little evidence of systemic exploitation by firms.
Originality/value
Prior studies into employment arbitration are limited both by their definitions of experience and by their methodological approaches. I overcome these issues by employing a novel methodological approach to measure between- and within-entity experience, which adds a more multifaceted and nuanced framework to the literature than the common repeat-player versus single-player dichotomy.
Keywords
Citation
Lamare, J.R. (2016), "Beyond Repeat Players: Experience and Employment Arbitration Outcomes in the Securities Industry", Managing and Resolving Workplace Conflict (Advances in Industrial & Labor Relations, Vol. 22), Emerald Group Publishing Limited, Leeds, pp. 135-160. https://doi.org/10.1108/S0742-618620160000022006
Publisher
:Emerald Group Publishing Limited
Copyright © 2016 Emerald Group Publishing Limited