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Most analyses of labor markets search for uniform patterns across different industries and different occupations, and incorporate variables drawn from either individual skill, worker collective action, or employer strategy theories. This paper is a case study of a single (new) occupation within a single (old) industry-longshore crane operators-using aspects of all these theories. It argues that because the labor market is.the arena of negotiation between firms and workers, analysis should focus on both labor market outcomes and labor market formation. In this case the labor market outcome has been the fragmentation of the occupation into two labor markets, the one providing workers an advantaged status, the other providing workers a disadvantaged status. This is related to technological changes in the industry, and to the conflict among employer goals, union principles, and individual worker interests.
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William Finlay (1983) studied this question.
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