Article: Profit sharing and public policy.

The structure of American workplaces, and the relation of this structure to economic performance, has received increased attention from researchers and policymakers [e.g., Reich 1993; U.S. Department of Labor 1993]. In contrast to the prediction that firms in competitive markets will have a homogeneous set of efficient policies, a number of studies have discovered substantial variation in human resource and compensation policies, with strong links to workplace performance [Ichniowski 1990, 1992; Huselid 1993; Kruse 1993; Blasi et al. 1993; U.S. Department of Labor 1993]. Such findings raise the issue of whether there is a role for public policy in fostering more productive ...

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