Is there a systematic relation between wage rates and strike out-
cones? This paper addresses the question using a panel of over 2,000
collective bargaining agreements from the Canadian manufacturing sector.
Contrary to the implications of recent signalling and sequential
bargaining models, there is no correlation between contract real wage
rates and strike duration or incidence. Furthermore, lagged strike out-
comes do not affect future wage settlements. On the other hand, there
is some evidence that contract wages affect future strike outcomes, and
also that lagged strike outcomes affect future strike probabilities.