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A study identified different educational and working paths that workers take, asked which paid off for long-term wage growth and career development, and tested whether educational pathways helped explain more of the variability in wage outcomes. It compared long-term wage growth for two cohorts of young white men: the original cohort that entered the labor force in the late 1960s at the end of the post-World War II economic boom and the recent cohort that entered in the early 1980s after the onset of economic restructuring. Long-term wage growth between the ages 16-36 declined and became significantly more unequal for the recent cohort. The rising demand for education and skill in the new labor market apparently benefitted only those with four-year college degrees. Rising inequality in wage growth was found in all education groups. Working while enrolled and interrupting and returning to school were the dominant pathways to educational attainment. A second set of analyses focused on the recent cohort. Multiple regressions showed educational pathways had a strong effect on long-term wage growth: working while enrolled had a positive impact and interrupted schooling had a negative one. Career choices about industry and occupation mattered. Taking an academic track in high school paid off for workers who get some college credit or enter occupations requiring cognitive skill. Applied and practical fields of study offered the most long-term wage growth to college graduates. (Appendixes contain 19 references and a permanent wage estimation model.) (YLB)

The business press abounds with examples of innovative companies that have created high-quality jobs; however, low-wage, deskilled jobs filled by contingent workers are equally prevalent. More than one in six U.S. workers currently hold retail jobs. The effect of globalization of trade on the retail industry is unclear. The most significant development to date is that the retail market has, according to many analysts, become highly congested and overbuilt. The leading retail strategy is the Wal-Mart model, which includes a "low-road" human resource approach. Sales jobs are dead-end jobs, starting pay is at or near minimum wage, raises are given yearly but not guaranteed, and the low pay is exacerbated by short and uncertain work schedules and the lack of opportunity to work sufficient hours each week to produce a livable paycheck. Upward mobility in the retail sector is limited. Most retail firms choose to import educated workers rather than train incumbent workers. The problem of mobility is not limited to the retail sector. Although skilled workers in professional occupations may be able to create new career paths that preserve their opportunities, opportunities for upward mobility do not look promising for the more numerous occupations further down the ladder. (Contains 12 references.) (MN)

The banking industry has undergone marked changes over the past 20 years, driven by deregulation and new technologies. Two strategies have emerged: the low-cost transaction approach and the high-road relationship banking approach. The number of employees in commercial banking has fallen significantly, and average hourly earnings for nonmanagerial employees have remained low. A case study of a large, multinational bank showed a reduction in employees. Reengineering has had important effects on the staffing, task content, and quality of jobs at the bank branches. Back-office jobs have been eliminated or moved to national customer-service phone centers, whereas some jobs have been upgraded toward customer service. Teller jobs have become mostly part time, especially for entry. Although the bank requires high levels of communication skills for tellers, it has difficulty attracting the type of people it needs to a job with low status and low pay. Tellers have a high rate of attrition because of low pay and few opportunities for upward mobility. At the same time, tellers are expected to participate more in sales while still making accurate transactions, leading to more job stress. The process of restructuring is ongoing and is redefining the role of bank employees. Low-level employees are expected to have increased commitment to and performance for the firm, whereas rewards--compensation, upward mobility, and rewarding job content--usually lag behind. (KC)

To examine the impact of rising wage inequality on lifetime wage growth, a study compared the wage mobility experienced by two cohorts of young white men from the National Longitudinal Surveys. The original cohort entered the labor market in the mid-1960s at the end of the economic boom and was followed through the end of the 1970s. The recent cohort entered the labor market in the early 1980s after the onset of economic restructuring and was followed through the mid-1990s. For each cohort, wage profiles were analyzed across 16 years using a mixed-effects model. Analysis indicated that wage growth during the critical years of career development had been hit on two fronts: it had both stagnated and become significantly more unequal. To the extent that wage growth represented upward mobility, the prospects for such mobility had clearly deteriorated in recent years. (Appendixes contain 48 references, 3 data tables, and 8 figures.) (YLB)