RESEARCH ARTICLE
The in luence ha Spanish Labou Re o m
ep esen s on Mad id S ock Ma ke : An
empi ical analysis
Ana M. Saba e Ma cosID
1
*, Te esa Dua e A oche
2
, Joaquina La a ga B iones
2
1Uni e sidad Miguel He na
´ndez, Alacan , Spain, 2Uni e sidad de Se illa, Se ille, Spain
*[email p o ec ed]
Abs ac
Empi ical e idence o Spanish S ock Ma ke shows ha labou e en s, like a i m le el col-
lec i e ag eemen , ha e in o ma i e con en o he ma ke due o he loss o weal h ha i
implies o he in es o . Labou Re o ms which Spain expe ienced be ween he yea s 2010
and 2012 ha e allowed he jeopa dising o employmen and he des uc ion o jobs, subs i-
u ing one well paid by ano he o lowe cos o he i m, he cos o dismissal, o he p opos-
als o subs i u ing payo s by he so-called Aus ian backpack, and he elimina ion o he
dis inc ion be ween empo a y and pe manen con ac s. These Labou Re o ms a ec
many o he accoun ing and inancial a iables, which a e he subjec o analysis and ollow-
up by in es o s and analys s, nex o he idiosync asy o he Open Shop Sys em ha is ol-
lowed in Spain, he p esen a icle means o explo e he e ec on Mad id S ock Ma ke . Ou
esul s, applying analysis echniques wi h decision ees whe e we con ol he e ec o he
economic c isis on he ma ke eac ion, show ha he Labou Re o ms o 2010 o 2012 a e
inco po a ed as nega i e, o posi i e, in o ma ion when he in es o pe cei es a possible
dec ease, o inc ease, in i s u u e cash lows.
1. In oduc ion
The egula ion o labou ela ions and he wo k ma ke in Spain ha e expe ienced signi ican
e o ms since o he c ea ion o he Wo ke s’ S a u e in 1980. These e o ms also end o be
g ea e and mo e ho ough in pe iods o economic c isis (as is he case o he e o ms o 2010,
2011 and 2012) han in pe iods o expansion. The main eason o his is he wo se wo k ma -
ke si ua ion in hose pe iods o economic c isis and he g ea e p essu es exis ing o imp o e
ha si ua ion. This is especially so when he ins i u ions domina ed by economic o hodoxy
ha e been denouncing he igidi y o he labou ma ke o yea s, blaming i o a i icially
main aining a high wo k cos .
Neoclassical heo y conside s wo k like any o he esou ce which con ibu es o he p o-
duc ion p ocess. I he supply su passes he demand, i will be enough o lowe he sala y o
e u n o he ma ke equilib ium. Fu he mo e, a lowe sala y also causes less o e as he e a e
wo ke s who a e no willing o wo k a his p ice. Following his heo y, unemploymen is
PLOS ONE
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 1 / 18
a1111111111
a1111111111
a1111111111
a1111111111
a1111111111
OPEN ACCESS
Ci a ion: Saba e Ma cos AM, Dua e A oche T,
La a ga B iones J (2021) The in luence ha
Spanish Labou Re o m ep esen s on Mad id
S ock Ma ke : An empi ical analysis. PLoS ONE
16(10): e0258004. h ps://doi.o g/10.1371/jou nal.
pone.0258004
Edi o : J E. T inidad Sego ia, Uni e si y o Alme ia,
SPAIN
Recei ed: Ap il 28, 2021
Accep ed: Sep embe 15, 2021
Published: Oc obe 6, 2021
Copy igh : ©2021 Saba e Ma cos e al. This is an
open access a icle dis ibu ed unde he e ms o
he C ea i e Commons A ibu ion License, which
pe mi s un es ic ed use, dis ibu ion, and
ep oduc ion in any medium, p o ided he o iginal
au ho and sou ce a e c edi ed.
Da a A ailabili y S a emen : All ele an da a a e
wi hin he manusc ip and i s Suppo ing
In o ma ion iles.
Funding: The au ho (s) ecei ed no speci ic
unding o his wo k.
Compe ing in e es s: The au ho s ha e decla ed
ha no compe ing in e es s exis .
olun a y as he only hing ha has o be done o e adica e i is o wo k a he p ice a which
i ms a e willing o con ac all he wo k a ailable in he ma ke . The e o e, i sala ies do no
d op i is because o ade unions and he egula ion which p o ec s he wo ke s’ igh s, o else
he lack o he egula ions’ lexibili y p e en he ma ke om adjus ing.
I is exac ly a his poin ha he labou e o ms a ose in 2010, 2011 and 2012. These ha e
allowed he jeopa dising o employmen and he des uc ion o jobs, subs i u ing one well paid
by ano he o lowe cos o he i m. No o men ion he cos o dismissal, o he p oposals o
subs i u ing payo s by he so-called Aus ian backpack, and he elimina ion o he dis inc ion
be ween empo a y and pe manen con ac s.
Mo eo e , hese g owing demands o new labou e o ms a e s imula ed and ein o ced
by he subs an ial shi which ook place in economic policy in May 2010, by supp essing
Keynesian economic and ax s imuli which had been es ablished in sp ing 2009 and subs i u -
ing hem by a s ic iscal aus e i y policy. This means ha he p io and undamen al aim o
economic policy is he educ ion o he de ici and o he public deb . The objec i es o he c e-
a ion o employmen and he educ ion o unemploymen emain in he backg ound, subo di-
na ed in any case o he success o he economic policy o aus e i y in he imp o emen and
he ees ablishing o ma ke con idence in he Spanish economy. Bu how did he Spanish
inancial ma ke eally in e p e he di e en labou e o ms?
Collec i e ba gaining is an aspec which analys s and in es o s ake in o accoun due o he
mul i ude o scena ios which, in one way o ano he , a ec he i m’s u u e cash lows and
ha , he eby, modi y he dis ibu ion o weal h. The empi ical e idence o he Spanish ma ke
demons a es ha he signing o a i m’s collec i e ag eemen is in e p e ed as bad news by he
in es o , due o he inc ease in labou cos s which i in ol es.
The e a e a numbe o pape s add essing ela ionships be ween collec i e ba gaining and
co po a e pe o mance in a inancial con ex . These wo ks ha e been widely ocused on he
Anglo-Ame ican con ex . Fo ins ance, [1], and [2] ound ha i ms’ s ock p ices ell o he
US case in he p esence o unionisa ion wi hin a i m. In he same line, [3] obse es ha shocks
in labou cos s cause a p opo ional dec ease in a i m’s s ock p ice. F om a sligh ly di e en
app oach, [4] measu es co po a i e pe o mance by using Tobin’s Q and inds a nega i e co -
ela ion be ween union p esence and co po a i e pe o mance. Mo eo e , [5] ound ha i ms
wi h high union powe ha e educed s ock p ices and R&D in es men s. Mo eo e , [6] ound
ha collec i e ba gaining a ec s dis ibu ion, bu i does no ha e an impac on p oduc ion o
on he use o p oduc i e ac o s. Fo Eu ope, se e al pape s s udy he ela ionship be ween
s ock pe o mance and collec i e ba gaining. [7–10], who ocus on he Spanish con ex , ound
ha he ela ionship be ween collec i e ba gaining and s ock pe o mance is nega i e a ound
he da e o he e en .
A collec i e ag eemen is a w i en ag eemen , nego ia ed be ween he wo ke s and he
managemen , which es ablishes he wo ke s’ labou and economic condi ions. The ag eemen s
mos used in Spain a e sec o ial ag eemen s and i m ag eemen s. Sec o ial ag eemen s es ab-
lish he minimum sala y o he wo ke s o a speci ic sec o . The i m, o i s pa , can olun a -
ily disassocia e i sel om he sec o ial ag eemen and imp o e i s condi ions in an own o
i m ag eemen . This will depend on he powe and he s eng h ha he ade union has in
he company, as well as i s inancial capaci y.
The e exis wo models o collec i e ba gaining, he Open Shop ypical o Eu opean coun-
ies and he Closed Shop ypical o Anglo-Saxon coun ies. The Open Shop Sys em in Spain,
is cha ac e ised by he esul o he ba gaining a ec ing all he wo ke s ega dless o hei
being a ilia ed o a ade union, unlike he USA, o example, whe e he esul is applied only
o unionised wo ke s; hence he unionisa ion a e in Spain is e y low compa ed wi h he USA
o Canada.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 2 / 18
Ac ually, he e has been some in e na ional e idence o sugges ha he exis ence o a ade
union and po en ially a collec i e ag eemen ha e s a is ically and economically signi ican
posi i e e ec s on he p oduc i i y o he i m [11].
While, he e has been p io li e a u e o suppo such sequence based mainly in he US,
he e a e in e na ional s udies p esen ing e idence ha he e is no uni o m eac ion in all
coun ies. [12], o example, examined he e ec s o unions on i m p oduc i i y and inancial
pe o mance in di e en na ional se ings. He obse ed a nega i e ela ionship o he case o
he US, as in p e ious li e a u e, howe e in he UK he ad e se e ec is e e sed in ecen
yea s, while in Ge many and Japan unions (and appa en ly collec i e ba gaining) ha e a posi-
i e e ec on p oduc i i y and inancial pe o mance. In coun ies wi h s onge ade unions,
high unionisa ion and conside ably o en indus ial ac ion, like in con inen al Eu ope (on
union s eng h in EU see o example he collec i e ba gaining co e age a [13], ailu e o
each a collec i e ag eemen may lead o p olonged s ikes, social un es , employee dissa is ac-
ion, a po en ial all in p oduc i i y and a decline in sha e p ices (e.g. [14], on he impac o
s ikes on s ock alue).
[10] obse ed, h ough a heo e ical model o he Mad id S ock Ma ke , which isk ad e se
in es o s modi y hei po olios when aced wi h he signing o a collec i e i m ag eemen
and his esul is main ained e en in hose companies ha ha e s ipula ed an inc ease in p o-
duc i i y in hei ag eemen . So, he ins i u ional cha ac e is ics o each coun y will play a
decisi e ole in he esul s ob ained.
The p esen a icle means o explo e he e ec o he Labou Re o ms which Spain expe i-
enced be ween he yea s 2010 and 2012 on he sha e p ices o he Mad id S ock Ma ke .
Among he nume ous e o ms in oduced is he lexibili y g an ed o i ms o disengage om
he ag eemen and educe he wo ke s’ sala ies, and he p e alence o i m ag eemen s com-
pa ed o sec o ial ag eemen s.
Gi en ha he Labou Re o ms di ec ly a ec many o he accoun ing and inancial a i-
ables which a e he subjec o analysis and ollow-up by in es o s and analys s, we p opose he
hypo heses o ou wo k supposing ha isk-ad e se in es o s manage hei alue po olio ak-
ing labou ela ions in o accoun . The Labou Re o ms o 2010 o 2012 a e inco po a ed as
nega i e in o ma ion, o posi i e, when he a iables a ec ed in ol e a dec ease, o inc ease,
in i s u u e cash lows. Ou esul s, applying analysis echniques wi h decision ees, whe e we
con ol he e ec o he economic c isis on he ma ke eac ion, endo se ou hypo heses.
The wo k is s uc u ed as ollows. The labou e o ms passed du ing he economic c isis
a e men ioned in de ail. The sample and he me hodology a e p esen ed. The esul s and sensi-
i i y analysis a e se ou , and he conclusions a e d awn.
2. The labou e o ms passed du ing he economic c isis
The labou e o ms whose e ec s on he accoun s o i m esul s and, he eby, on hei p o i -
abili y, a e going o be analysed in his a icle a e hose which we e ca ied ou in he yea s
a e he ou b eak o he c isis. This c isis began wi h he banking c ash de i ed om he mas-
si e di usion o p oduc s s emming om subp ime mo gages in he Uni ed S a es. Mo e spe-
ci ically, he e o ms which we e ca ied ou h ough he ollowing legal ex s a e:
• Royal Dec ee-Law 10/2010, o 16 June, o u gen measu es o he labou e o m o he wo k
ma ke , which es ablishes measu es ha a ec nume ous ma e s o labou egula ion wi h
h ee main aims: a) o educe he duali y o he labou ma ke ; b) o ein o ce he ins u-
men s o in e nal lexibili y in he de elopmen o labou ela ions and, in pa icula , he
measu es o empo a y educed wo king hou s and c) o aise he oppo uni ies o
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 3 / 18
unemployed people, paying pa icula a en ion o young people, eo de ing he bonus pol-
icy o do so.
• Royal Dec ee-Law 7/2011, o 10 June, o u gen measu es o he e o m o collec i e ba -
gaining which will subs an ially modi y he s uc u e, compe i ion, con en , e ec , legi i-
macy, p ocessing, applica ion and in e p e a ion o collec i e ag eemen s.
• Royal Dec ee-Law 3/2012, o 10 Feb ua y, o u gen measu es o he e o m o he labou
ma ke -possibly he mos a - eaching legal e o m since he passing o he S a u e o Wo k-
e s o 1980 as he legal changes which i in oduced subs an ially al e ed he basic p inciples
which, un il ha momen , had sus ained he Spanish labou sys em in he a ea o indi idual
and collec i e beha iou s in he labou p ocess and in he sys ems o p o ec ion. This mean
a subs an ial and subs an i e modi ica ion o he ules o he game exis ing ill hen.
The p esen ing o he mo i es o hese h ee legal ex s which enac ed hem assumed wo
main p inciples o s a ing poin s. On he one hand, which o ecupe a e he pa h o economic
g ow h and o de ain he eno mous des uc ion o employmen which he ecession b ough ,
i was indispensable o in e ene as a ma e o p io i y in he labou ma ke . On he o he
hand, he na u e o he p edominan labou model a ha momen was incompa ible wi h he
eco e y and eme ging om he c isis, so i was necessa y o go much mo e in ensely in o he
lines which had ollowed he labou e o ms ca ied ou be o e. These a e all o inspi ed in he
idea ha he Spanish labou ma ke is ex emely igid and ha , he e o e, i is necessa y o
inc ease i s lexibili y, enabling a mo e app op ia e adjus men be ween he supply and he
demand o wo k. In he opinion o he legisla o s his is he only way o achie e a educ ion o
employmen ia gene a ing lowe balanced sala ies and inc ease p oduc i i y.
To his end, he e o ms men ioned p oposed h ee undamen al objec i es and a basic p o-
cedu e o a ain hem. This would be de ined by he singula e ec i eness o he las e o m o
2012.
These aims we e o gain he g ea es possible lexibili y in all he labou ela ions, o educe
he segmen a ion o he ma ke , a ou ing he o a ion and mobili y o he wo k o ce and o
imp o e he wo ke s’ condi ions o employabili y. And he basic p ocedu e which should pe -
mi achie ing hem would be he modi ica ion o he ba gaining p ocedu es, mo e speci ically
he deg ee o cen alisa ion o he collec i e ba gaining sys em and he edundancy cos s and
p ocedu e.
Wage de alua ion could be ul ima ely a ained hanks o es ablishing a new balance o pow-
e s o decision. Tha is o say, a dec ease o he balance p ice -o he sala y- which, acco ding
o he dominan economic heo y, is he essen ial condi ion o an app op ia e adjus men o
be p oduced, and employmen ending o o al employmen be ween he supply and demand
o wo k.
We nex p esen he mos speci ic measu es which we e passed in hese h ee legal e o ms
o la e subs an ia e hei eal e ec s on business beha iou .
U gen measu es o he labou e o m o he wo k ma ke o 2010 (R.D-L.
10/2010)
In his i s e o m he ollowing main e o ms can be dis inguished.
i. Tempo a y con ac ing. Two no el ies a e in oduced. The i s consis s o he es ablishing
in he Wo ke s S a u e o a ime limi a ion o he con ac s o a h ee-yea speci ic wo k o
se ice, ex endable wel e mon hs mo e i his is included in he collec i e ba gaining,
which p e en s hei pe pe ua ion. The second e e s o he payo s be o e inalising he
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 4 / 18
con ac s o a speci ic wo k o se ice, which was 8 days pe yea wo ked and is es ablished
as 12 days pe yea wo ked, a ansi ional egime being es ablished.
ii. Redundancy, indi idual o collec i e e mina ion o wo k o objec i e easons. Fou main
ques ions a e adop ed. The i s e e s o he no ice pe iod o cu en losses o hose o e-
seen ha he Wo ke s S a u e main ained a hi y days and which he e o m educes o i -
een days. The second is a echnical ques ion, bu one o unques ionable p ac ical
signi icance, which elimina es he supp ession o nulli y on o mal g ounds. The hi d is
he assuming by he Wages Gua an ee Fund o he amoun o eigh days pe yea wo ked o
he edundancy, p esuming e mina ion o objec i e causes. The ou h, he possibili y o
edundancy o absen eeism o hose wo ke s who a e no a wo k o mo e han 20% o
he wo king days o e wo consecu i e mon hs, o 25% i hese a e ou discon inuous
mon hs wi hin a pe iod o 12 mon hs, whene e he a e age o labou absen eeism in he
i m su passes 2.5%.
iii. Collec i e ag eemen s. The possibili y o no applying he sala y egime es ablished in a
collec i e ag eemen o a wide scope han he i m’s is conside ed i his is in c isis.
i . Wo kday. The possibili y o educing he wo kday up o 70% wi h he consequen sala y
educ ion o economic causes and wi h he igh o unemploymen pay o he hou s
a ec ed.
. Labou in e media ion and empo a y wo k i ms. The igu e o p o i -seeking placemen
agencies is egula ed. These will ac along wi h he public employmen se ice. The es ic-
ions o which empo a y wo k i ms we e subjec o ope a e in speci ic sec o s a e e ised
and he con ac s o aining a e enhanced, wi h he aim o acili a ing access o wo k o
young people, bo h by bonuses and imp o ing hei condi ions.
U gen measu es o he e o m o collec i e ba gaining o 2011 (R.D-L. 7/
2011)
The modi ica ion o he collec i e ba gaining sys em is p oduced ia changes in he ollowing
main aspec s:
i. The s uc u e and compe i ion o collec i e ba gaining. The p e alence o he i m collec i e
ag eemen o e he sec o ial collec i e ag eemen o any a ea is acili a ed, excep he au on-
omous o s a ewide collec i e ag eemen . The possibili y o compe ing wi h a s a ewide sec-
o ial collec i e ag eemen is limi ed o he au onomous sec o ial collec i e ag eemen ,
p o incial ag eemen s now no being included.
ii. The con en and alidi y o collec i e ag eemen s. A minimum pe iod o denounce he col-
lec i e ag eemen and he maximum pe iods o he beginning and he nego ia ion o he
new collec i e ag eemen a e es ablished. The e is also an obliga ion o inco po a e mea-
su es o in e nal lexibili y in he ag eemen s. Binding a bi a ion in he cases o a lack o
ag eemen a e inco po a ed as a subsidia y egula ion.
iii. The legi imisa ion o he nego ia ion o collec i e ag eemen s. The ole o he ade union
sec ions is ein o ced as is hei p io i y o e wo ks councils.
i . In e nal lexibili y. P e alence in he nego ia ion o he ade union sec ions o e uni a y
ep esen a ion and he in oduc ion o he «pe sis en dec ease o he le el o incomes» as a
cause allows he non-applica ion o he sala y egime o eseen in he collec i e ag eemen s
o a wide scope han he i m. A possible disag eemen wi h ega d o he Join
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 5 / 18

commission o he ag eemen is pu o wa d. This will ha e a pe iod o se en days o gi e
i s opinion, coun ing om he disc epancy which was p oposed.
U gen measu es o he e o m o he labou ma ke o 2012 (R.D-L 3/
2012)
This e o m included a b oad se o modi ica ions in he ins i u ions o he wo k ma ke
which, as has been said, mean he mos adical change o na u e o he Spanish sys em o
labou ela ions du ing he las hi y yea s. I s main changes a e he ollowing:
i. Collec i e ba gaining. The applica i e p io i y o i m ag eemen s in an ample se o ma e s
is es ablished (basic sala y, supplemen s, complemen s, pay o o e ime o dis ibu ion o
wo k ime). This implies ha hese ag eemen s can modi y wha is o eseen in ag eemen s
o a wide scope wi hou any kind o limi a ion. Likewise, he possibili ies o cu s in pay and
in he es o he wo k condi ions a e acili a ed, in he case o edundancies he causes
which pe mi he cu s being eased. Fu he mo e, in he case o a cu o he non-applica ion
o an ag eemen in o ce, al hough his mus be p oduced in ag eemen wi h he wo ke s, i
such an ag eemen is no eached, upon eques o any o he pa ies (no mally his will be
he i m) a bi age can ake place. Finally, ul ac i i y is elimina ed (which means he ex en-
sion o he ag eemen s ha ha e inalised hei pe iod o alidi y) when a yea has passed
since he ag eemen had been denounced, he alidi y o he ag eemen lapsing in his case
and he wo ke s emaining wi hou an ag eemen when he e does no exis ano he ag ee-
men o a wide scope o applica ion.
ii. Wo k condi ions. The e o m in oduces a e y conside able change: he possibili y o
modi ying he wo k condi ions (including wages), when hese condi ions, including he
wages, a e no es ablished in a collec i e ag eemen bu , o example, in an indi idual con-
ac o ia a collec i e ag eemen o pac di e en om he s a u o y collec i e ag eemen .
I is es ablished ha o do so i will be su icien o he need o modi ying he wo k condi-
ions o be gene ally ela ed wi h compe i i eness, p oduc i i y o echnical o ganisa ion o
o wo k in he i m, wi hou i being necessa y (as es ablished in he p e ious egula ion)
o he modi ica ions o con ibu e o o eseeing a nega i e e olu ion o he i m o o
imp o ing i s si ua ion o pe spec i es.
iii. Redundancy cos and p ocedu e. On he one hand, i educes he compensa ion o un ai
dismissal om 45 days o wages pe yea o se ice wi h a limi o 42 mon hly paymen s o
33 days wi h a limi o 24 mon hly paymen s, hus conside ably dec easing he di e ence
be ween he cos o un ai dismissal, wi hou cause, and ai dismissal o objec i e causes.
On he o he hand, he causes o objec i e dismissal a e e y subs an ially eased, especially
hose which a e economic, as is pe mi ed when he i ms can p esen losses, o simply
expec hem o expe ience an in e annual educ ion o he o dina y incomes o sales du -
ing h ee consecu i e qua e s. And, inally, he obliga ion o he adminis a i e au ho isa-
ion o collec i e dismissals and he paymen by he i m o he p ocedu al sala ies
be ween he momen o no i ica ion o he dismissal and i s cou decision is elimina ed.
i . Con ac ing. A new ype o con ac , in p incipal inde ini e, is in oduced o i ms wi h less
han 50 wo ke s, bu wi h a es pe iod ex ended o a yea , du ing which he wo ke can be
eely dismissed wi hou iscal bonuses being los . On he o he hand, he con ac o
aining and lea ning is eased, allowing successi e con ac s o his ype o he same
wo ke by he same o ano he i m, as well as a pa - ime con ac , doing addi ional o e -
ime o he exis ing ex a hou s being au ho ised.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 6 / 18
The s udy o he impac o hese h ee e o ms on Mad id S ock Ma ke will be he aim o
he es o he a icle.
3. Sample and me hodology
Ou sample co e s i ms quo ed on Mad id S ock Ma ke be ween Janua y 2 2010 and Decem-
be 31 2012. We p oceeded as ollows. Fi s , we ob ained he i ms quo ed on Mad id S ock
Ma ke om he websi e. We conside he da e on which he labou e o m was published in
he BOE as he ze o momen . We check ha his is co ec by conduc ing a da a sea ch in he
economic p ess and he websi e o he Na ional S ock Ma ke Commission (CNMV). We
ound ha he announcemen o he e o m was published on he e y day ha he labou
e o m was published.
Second, we selec ed he leng h o he e en window in o de o es abno mal beha iou in
he e u ns o he sample i ms. Al hough mos in o ma ion is usually quickly inco po a ed
in o s ock p ices, some in o ma ion may some imes leak ou be o e o mal publica ion, o
publica ion may be delayed. Then, we conside ed i e days be o e and a e he ze o momen .
Fi ms which happen o ha e mo e han one ele an announcemen wi hin he e en win-
dow (collec i e ag eemen s, me ge s, spli s, di idend announcemen s. . .) we e excluded om
he sample o a oid any po en ial con using e ec s. The emaining sample a e hese exclu-
sions, consis ed o 61 i ms o 2010, 70 i ms o 2011 and 53 i ms in 2012 o 30 sec o s
acco ding o he wo-digi sec o classi ica ion. The indus ies a e: ade and o he se ices,
o he manu ac u ing indus ies, cemen , glass and cons uc ion ma e ials, inance, anspo
and communica ions, u ili ies and cons uc ion, among o he s.
In addi ion, we gene a ed wo subsamples, one composed o companies only wi h a i m-
le el ag eemen and ano he subsample made up o companies wi h sec o ag eemen .
We wo k wi h h ee e en da es, co esponding o he h ee labou e o ms unde s udy:
Re o m 2010. Royal Dec ee-Law 10/2010, o June 16, on u gen measu es o he e o m o he
labou ma ke . BOE 06/17/2010
Re o m 2011. Royal Dec ee-Law 7/2011, o June 10, on u gen measu es o he e o m o col-
lec i e ba gaining. BOE 06/11/2011
Re o m 2012. Royal Dec ee-Law 3/2012, o Feb ua y 10, on u gen measu es o he e o m o
he labou ma ke . BOE 02/11/2012
The dis ibu ion o he sample among sec o s and yea s is illus a ed in S1 Table. Among
he sec o s, he inancial s ands ou , whe e he e is a g ea e numbe o companies in bo h sub-
samples. In he cons uc ion sec o , he la ges numbe o lis ed companies unde he sec o ial
ag eemen is highligh ed, as well as he ci il enginee ing sec o . Wi h ega d o he subsample
o companies wi h hei own ag eemen , he bulk o he sample is ound among inance com-
panies, me allu gy, manu ac u e o machine y and o he ma e ials, adio and ele ision b oad-
cas ing, and consul ing ac i i ies. The in o ma ion was d awn om he Thomson Da abase.
As al eady men ioned in he in oduc ion, he aim is o explo e whe he he labou e o m
has an impac on a i m’s s ock p ice. To his pu pose E en S udy echnique is used. Fo u -
he in o ma ion on he E en S udy me hodology see [15].
Since s ock p ices e lec he ue alue o a company and change immedia ely in esponse
o any e en ha may po en ially a ec he company’s u u e cash lows, he impac on he co -
po a e alue o a gi en e en can be measu ed by obse ing s ock p ice changes o e a e y
sho ime pe iod a ound he da e o he e en . The a iable is he occu ence o abno mal
e u ns in companies a ound he da e o he e en . In o de o calcula e his, he e u n gi en
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 7 / 18
by he ma ke model as no mal will be used.
Ri ¼aiþbiRm þεi ð1Þ
Whe e R
i
is he e u n on company ion day ; R
m
is he e u n on he ma ke po olio on
day ; α
i
is he expec ed e u n on company i, which is independen om he ma ke ; β
i
is he
sensi i i y o he e u n on company i o changes in ma ke e u n; and ε
i
is a andom pe u -
ba ion. The ma ke po olio is ep esen ed by he IBEX35 index.
As occu s in mos s udies on e en s ha a ec se e al companies on he same da e, he e is
an o e lap o e en s in he es ima ion pe iods, so i mus be aken in o accoun ha he esidu-
als ε
i
a e no independen bu a e co ela ed. In addi ion, a equen he e oscedas ici y p ob-
lem can a ise in c oss-sec ional analyses. An app op ia e eg ession model when conside ing
he e oscedas ici y and he con empo a y co ela ion o esiduals is he Seemingly Un ela ed
Reg essions (SUR) model. The e o e, i is impo an o know i he e is a con empo a y co e-
la ion, since i he e is no sepa a e OLS o each equa ion, i is as e icien as SUR. See [16].
Applying he B eusch-Pagan es we ob ain ha he e is a con empo a y co ela ion. This
model p oposes ha he co ela ion o he con empo a y esiduals is di e en om ze o and
he non-con empo a y esiduals a e equal o ze o.
The e o e, ins ead o es ima ing he classic ma ke model o each e en by OLS, we will use
he sys em o Eq (2), es ima ing he coe icien s by GLS. This will allow us o ha e be e es i-
ma ion esul s, aking in o accoun empo al co ela ions and c oss-sec ion he e oscedas ici y.
R1 ¼a1þb1Rm þε1
R2 ¼a2þb2Rm þε2 ð2Þ
Rn ¼anþbnRm þεn
Es ima ing his sys em o equa ions enables calcula ing he daily abno mal e u ns (ARi )
o a news i em om company i:
ARi ¼Ri  ðaiþbiRm Þ ð3Þ
Whe e a
i
and b
i
a e he GLS es ima es ob ained in he eg essions [2] by using a pe iod o
145 days be o e he announcemen . This is an app op ia e pe iod o ime o es ima ing he
pa ame e s acco ding o a ailable empi ical e idence on e en s udy [9]. Abno mal e u ns
om s ocks a e a e aged in a c oss sec ion h oughou each day o he e en window o s udy
window, p oducing he a e age daily abno mal e u ns AR
Conside ing ha he ma ke may an icipa e in o ma ion ega ding he e en o ha delays
may occu in i s announcemen , he e is an e en pe iod o 11 days a ound he da e ha he
labou e o m is published: om day T
1
= -5 o day T
2
= +5. Fo a mo e comp ehensi e analy-
sis, he cumula i e abno mal e u ns CAR (
1
,
2
) we e calcula ed in o de o ind ou he
cumula i e e ec o he e en .
I he labou e o m con eys new in o ma ion o in es o s, he expec ed alue o he abno -
mal e u ns mus be signi ican ly di e en om ze o. In o de o es his hypo hesis, he boo -
s ap echnique was used. An analysis o he e olu ion o abno mal e u ns in he s udy
window indica es ha some o he dis ibu ions a e sligh ly biased and p esen lep oku osis.
The Ja que-Be a es does no alida e he no mal dis ibu ion o he sample and, he e o e,
he p oposed hypo hesis mus be es ed using a non-pa ame ic es . This s udy likewise inco -
po a es a non-pa ame ic es based on he boo s ap me hodology. The es aims a ob aining
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 8 / 18
he empi ical dis ibu ion o he a ge a iable and es ing i s signi icance based on he simu-
la ed dis ibu ion. The dis ibu ion o he con en ional s a is ic is simula ed in o de o
ob ain c i ical alues om he simula ed dis ibu ion.
Nex , how a labou e o m may lead o changes o a i m’s sha e p ice was empi ically in es-
iga ed, con olling he possible e ec s ha he coun y’s mac oeconomic si ua ion may ha e,
such as he Risk P emium (PR), he Slope o he So e eign Yield Cu e (PC) and he Ted
Sp ead (TED), di e en mac o a iables ha we in oduce as con ol a iables.
Ri ¼aiþb1iRm þb2iPR þb3iPC þb4iTED þεi ð4Þ
Whe e R
i
is he e u n on company ion day ; R
m
is he e u n on he ma ke (IBEX35) on
day ; α
i
is he expec ed e u n o company i ha is independen o he ma ke ; β
1i
is he sensi-
i i y o he e u n on company i o a ia ions in ma ke e u n; β
2.3,4 i
is he sensi i i y o he
e u n on company i o PR, PC and TED espec i ely, and ε
i
is a andom pe u ba ion.
Spanish Risk P emium (PR)
In e nal Ra e o Re u n (IRR) Spanish 10 yea s bond–IRR Ge man 10 yea s bond o like a io
(IRR Spanish 10 yea s bond/IRR Ge man 10 yea s bond)
Slope o he So e eign Yield Cu e (PC)
In e nal Ra e o Re u n (IRR) Spanish 10 yea s bond–in e es a e h ee-mon h Spanish T ea-
su y bill o like a io.
Ted Sp ead (TED)
The di e ence be ween he h ee-mon h T easu y bill and he h ee-mon h LIBOR based on
US dolla s. In o he wo ds, he TED sp ead is he di e ence be ween he in e es a e on sho -
e m go e nmen deb in he Uni ed S a es and he in e es a e on in e bank loans.
In his way, i was checked whe he any e ec o eac ion ha a ises in he Ma ke is due o
he mac oeconomics ci cums ances o he Ma ke and no o he e en i sel .
An analysis o co a iance be ween he di e en a iables, see S2 Table, shows us he co ela-
ion be ween hem, which leads us o ca y ou di e en models inco po a ing in each one o
hem he di e en a iables c ea ed o con ol he e ec o he economic si ua ion.
Nex , we calcula e he abno mal e u ns o each day o he e en window and accumula ed
in di e en analysis windows.
In S3 Table, we can see daily abno mal e u ns o each day o he e en window o ou
h ee e o ms, con olling he possible e ec s ha he coun y´s mac oeconomic si ua ion may
ha e using he PR, PC and TED a iables.
The i s panel shows he esul s o he 2010 e o m. These esul s indica e ha his e en
has in o ma i e con en o he ma ke as he e a e daily abno mal e u ns signi ican ly di e -
en om ze o. The esul s a e mixed, i we obse e he abno mal daily e u ns o he ma ke
model wi hou con olling he e ec ha he economic si ua ion o ha yea could ha e, we
no e an e a ic beha io in he e en window. The e a e signi ican ly non-ze o nega i e abno -
mal e u ns on day -4, and day +1, and signi ican posi i e e u ns o boo s ap on days -2,
+2, and +4.
I we see he daily abno mal e u ns o he 2010 e o m, inco po a ing he mac o a iables
in o he ma ke model, we obse e a mo e uni o m beha io h oughou he days when he
p esence o posi i e abno mal e u ns signi ican ly di e en om ze o o boo s ap p e ails,
a 5% and 1%, on days -2, +2, +3 and +4 wi h posi i e abno mal e u ns a ound + 0.8%.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 9 / 18
he unions. The esul o he 2010 Re o m only con i ms he end o he labo ma ke in ecen
decades, ha is, gi en he news o lowe labo cos s, he in es o in e p e s highe u u e cash
lows.
I is in ui i e o hink ha a pe son who is willing o wo k a a lowe sala y migh ind a job.
Howe e , he idea ha educing wages will elimina e unemploymen is inco ec , as i is based
on a classic composi ional allacy, jus as he ma ke could expe ience wi h he 2010 e o m. By
educing he labo o ce o he s a us o any commodi y, he alse deduc ion is incu ed ha
wha is ue o a pe son seeking employmen is also ue o all wo ke s aken as a whole.
Business sales depend on wo ke s ha ing enough income o pu chase he goods and se -
ices hey o e , and wages a e he main sou ce o weal h o people. By educing wage cos s,
en ep eneu s will ind no demand o hei p oduc s. Thus, a educ ion in wages can wo sen
he p o i a e and lead o a educ ion in in es men and wo sening unemploymen , we a e
alking abou " he pa adox o cos s". Hence, in he ace o he h ea o ha ing hei weal h
diminished, he sha eholde eac s nega i ely o he 2011 Re o m.
The 2012 Re o m was he mos adical in 30 yea s and he ade unions eplied acco dingly.
In e ms o collec i e ag eemen s and wages, he ade unions we e led o a posi ion o de en-
si e ba gaining while he a i ude o i ms a he ba gaining able was changed. Spain is in he
op-6 coun ies in EU in e ms o indus ial ac ion and p io li e a u e documen s an ad e se
ela ion be ween s ikes and p oduc i i y. In pa icula , he announcemen o he e o m
immedia ely igge ed a eac ion om he ade unions. A endance a he p o es s was e y
signi ican , which he ade unions desc ibed as a show o ‘massi e suppo ’ om he people,
and hey announced an escala ion o he mobilisa ion i he go e nmen did no imp o e i s
o e . These e en s, as well as he announcemen o a gene al s ike, occu ed wi hin he e en
window o he s udy and i can be a gued ha hey would ha e an e ec o in es o s, c ea ing
unce ain y in he ma ke and con ibu ing o po en ially con adic ing obse a ions ha led
o he s a is ically insigni ican esul .
Suppo ing in o ma ion
S1 Table. Sample by sec o and yea .
(DOCX)
S2 Table. Co a iance co ela ion mac o a iables.
(DOCX)
S3 Table. Abno mal daily e u ns.
(DOCX)
S4 Table. Cumula i e abno mal e u ns.
(DOCX)
S5 Table. Daily abno mal e u n and cumula i e abno mal e u n by subsamples.
(DOCX)
S1 Da a.
(RAR)
Au ho Con ibu ions
Concep ualiza ion: Ana M. Saba e Ma cos.
Da a cu a ion: Ana M. Saba e Ma cos, Te esa Dua e A oche.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 16 / 18

Fo mal analysis: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Funding acquisi ion: Ana M. Saba e Ma cos, Te esa Dua e A oche.
In es iga ion: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Me hodology: Ana M. Saba e Ma cos, Te esa Dua e A oche.
P ojec adminis a ion: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Resou ces: Ana M. Saba e Ma cos, Te esa Dua e A oche.
So wa e: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Supe ision: Ana M. Saba e Ma cos, Te esa Dua e A oche, Joaquina La a ga B iones.
Valida ion: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Visualiza ion: Ana M. Saba e Ma cos, Te esa Dua e A oche, Joaquina La a ga B iones.
W i ing – o iginal d a : Ana M. Saba e Ma cos, Te esa Dua e A oche.
W i ing – e iew & edi ing: Ana M. Saba e Ma cos, Te esa Dua e A oche.
Re e ences
1. Unioniza ion and p o i abili y: E idence om he capi al ma ke . Ruback, Zimme man R. y M.B.;. 1984,
Jou nal o Poli ical Economy.
2. Unioniza ion and p o i abili y: E idence o spillo e e ec s. B ona s S. y Dee e R. 1994, Jou nal o Poli i-
cal Economy, pa
´gs. Vol. 106 (6): 1281–1287.
3. The e ec o wage ba gaining on he s ock ma ke alue o he i m. Abowd J.M. 1989, Ame ican Eco-
nomic Re iew, pa
´gs. Vol. 79: 774–800.
4. Tobin´s q uniniza ion and he concen a ion-p o i s ela ionship. Salinge M 1984, Jou nal o Economics,
pa
´gs. Vol 15:159–170.
5. Union en seeking in angible capi al and ma ke alue o he i m. Conolly R., Hi sch B. y Hi schey M.
1986, Re iew o Economics and S a is ics, pa
´gs. Vol 38: 567–577.
6. Unioniza ion and i m pe o mance: he impac on p o i s, g ow h and p oduc i i y. Cla k K. 1984, Ame i-
can Economic Re iew, pa
´gs. Vol. 74: 893–919.
7. ¿In e naliza el me cado bu sa
´ il español las elaciones labo ales?: E idencia empı
´ ica a pa i de un
E en Day S udy. Inu ie a, A. 1997, Mimeo.
8. ¿Obse a el Me cado Español las elaciones labo ales en e emp esa ios y sindica os?: Un ana
´lisis
empı
´ ico pa a el Me cado Con inuo. Saba e Ana Ma ı
´a y La a ga Joaquina. 2006, Re is a Española
de Financiacio
´n y Con abilidad, pa
´gs. Vol. 128: 57–86.
9. An empi ical analysis o labo ag eemen s on Spanish S ock Ma ke . Saba e Ana y La a ga Joaquina.
2011, In es men Managemen and Financial Inno a ion.
10. Los con enios colec i os y la co izacio
´n a co o plazo de las emp esas en la bolsa española. Gu ie
´ ez
Ca los y Saba e Ana. 2012, T imes e Econo
´mico, pa
´g. Vol. 79.
11. Labo unions and p oduc i i y: An empi ical analysis using Japanese i m-le el da a. Mo ikawa M.
2010, Labou Economics, pa
´gs. 17(6): 1030–1037.
12. Unions and P oduc i i y, Financial Pe o mance and In es men : In e na ional E idence. Me cal D.
2002, Cen e o Economic Pe o mance Discussion Pape , pa
´gs. 1–65.
13. Sc eening la ge-scale associa ion s udy da a: exploi ing in e ac ions using andom o es . Lehndo S.,
D ibbusch H. and Schul en T. 2018, BMC Gene ics, pa
´g. Vol. 32.
14. Impac o Labo S ikes on Equi y Values: Canadian E idence,. Nelson M., Amoako-Adu B. and Smi h
B. 1994, Jou nal o Economics and Business, pa
´gs. 46(3): 153–165.
15. Ko ha i S. P., and Wa ne J.B. Econome ics o E en S udies. Handbook o Co po a e Finance.
Ams e dam: B. E. Eckbo, 2007.
16. Campbell J.Y., Lo A.W., and A. C aig MacKinlay. E en -S udy Analysis. The Econome ics o Financial
Ma ke s. s.l.: P ince on Uni e si y P ess, 1997.
17. OECD, S a is ics. h ps://s a s.oecd.o g/index.aspx?Da aSe Code=CBC. [En lı
´nea] 05 de 06 de 2021.
h ps://s a s.oecd.o g/index.aspx?Da aSe Code=CBC.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 17 / 18
18. Eu opean T ade Union, Ins i u e. Benchma king Wo king Eu ope 2019. B ussels: ETUI Publica ions,
2019.
19. Eu opean, Comission. Council Recommenda ion on he Na ional Re o m P og amme 2011 o Spain
and deli e ing a Council opinion on he upda ed S abili y P og amme o Spain 2011–2014,. B ussels:
SEC, 2011.
20. Vaughan-Whi ehead D. Reducing Inequali ies in Eu ope: How Indus ial Rela ions and Labou Policies
Can Close he Gap,. Chel enham, UK: Edwa d Elga Publishing, 2018.
21. Spanish ade unions agains labou ma ke e o ms: s a egic choices and ou come. Del Rio Loi a P.
and Fenge M. 2019, 25(4), T ans e , pa
´gs. 421–435. h ps://doi.o g/10.1177/1024258918818267
22. Sc eening la ge-scale associa ion s udy da a: exploi ing in e ac ions using andom o es s. Lune a, L.
B., y o os. 2004, BMC Gene ics. h ps://doi.o g/10.1186/1471-2156-5-32 PMID: 15588316
23. Mining he cus ome c edi using classi ica ion and eg ession ee and mul i a ia e adap i e eg esion
splines. Lee T.S., y o os. 2006, Compu a ional S a is ics and Da a Analysis, pa
´gs. Vol. 50: 1113–
1130.
24. Amo o
´s A. E ec os de la adopcio
´n de la NIIF 3 en la in o macio
´n inancie a: un es udio compa a i o p e
y pos NIIF 3. s.l.: Tesis doc o al UMH, 2015.
25. Big Da a echniques o measu e c edi bankin isk in home equi y loans. Pe
´ ez Ma ı
´n A, Pe
´ ez To e-
g osa A. y Vaca M. 2020, Jou nal o Business Resea ch.
PLOS ONE
The in luence ha Spanish Labou Re o m ep esen s on Mad id S ock Ma ke
PLOS ONE | h ps://doi.o g/10.1371/jou nal.pone.0258004 Oc obe 6, 2021 18 / 18