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We specify a correlated random effect model to study inter-industry wage differentials using a small sample of Chinese firm level panel data. We find workers in real estate industry and computer and software industry enjoy a wage premium, and firms located in western areas pay less. Firm size, and the indicator of CEO also holds the position of general manager are positively related to earnings, while the annual pay for the high-level manager, stock shares held by the general manager, and low human capital endowments of workforce negatively impact wage. We find the profitability of a firm does not affect the average annual pay. [ABSTRACT FROM AUTHOR]

Employees with a flexible contract, i.e., those with either a temporary contract, temporary agency workers, or those on a contract with flexible working hours, face more job and income insecurity than employees with a permanent contract. In theory, wages of flexible jobs should be higher than those of permanent jobs, to compensate for lower job security, lower expected employment outcomes and lower investment in human capital. In many countries, however, wages of flexible jobs are lower than those of permanent jobs. We examine heterogeneity within flexible jobs by estimating wage differentials for specific groups of employees. We use administrative and survey data between 2006 and 2019 for the Netherlands to estimate wage differentials between flexible and permanent employment. We find negative wage differentials for all three types of flexible employment, but most notably for men, the higher educated, temporary agency workers and employees at large firms. Our results are robust to sample selection, alternative measures of occupations, hourly wages, and contract type, and alternative estimation methods. [ABSTRACT FROM AUTHOR]

In this paper, we analyse the education and wage gaps between Hindus and Muslims over the period 1983 to 2011–2012 in India. We find that Muslims are worse off than Hindus in terms of education and this disadvantage has increased over time. Our analysis shows that the wage gap is more pronounced at the higher end of the wage distribution which we interpret as a glass ceiling effect. We find that the wage gap has increased over time and the increase is more pronounced at the upper quantiles. Our decomposition analysis shows that difference in education has a significant contribution to the Hindu-Muslim wage gap. We find that the Hindu-Muslim gaps are more pronounced in urban areas relative to rural areas. Comparing Muslims with different Hindu castes, we find that while the disadvantaged castes have improved their condition relative to Muslims over time, the condition of Muslims relative to the advantaged castes has worsened. Dividing the sample into younger (aged 16–35) and older (36–65) cohorts, we find that the Hindu-Muslim gap in education is more acute in the younger cohort while the Hindu-Muslim wage gap is more pronounced for the older cohort. [ABSTRACT FROM AUTHOR]

This research examines the interaction of (de)unionization and trade liberalization in shaping firm productivity, market structure, trade flows, unemployment, and functional distribution (changes in the wage difference and labor income share). It introduces unemployment to the Melitz‐Ottaviano model by considering unionism in the differentiated manufacturing sector and searching frictions in the homogeneous service sector. It shows that unionization has a selection‐softening effect, leading to a non‐monotonic relationship between unionization and the number of firms and unemployment. With international trade, a unilateral increase in the degree of unionization in one country gives rise to a selection‐softening effect for domestic‐only firms and a selection‐toughening effect for exporting firms in this country, resulting in unemployment being more likely to increase relative to autarky. If openness to trade is relatively low (high), then the average wage difference for this country compared to its trading partner country rises (declines). Trade liberalization does not necessarily reduce unemployment, and depends on the relative degree of unionization between the two trading countries. In sharp contrast to the conventional notion, de‐unionization can increase, rather than decrease, the labor income share of unionized workers, provided that openness to trade is sufficiently high. [ABSTRACT FROM AUTHOR]

Introduction: Health workforces around the world are characterized with geographic maldistribution, often leading to inequalities in rural health outcomes. Monetary incentives are frequently raised as a policy option to bolster recruitment of healthcare practitioners to rural and underserved communities; however, few rural health workforce studies focus on allied health professionals (AHPs), include urban comparators, integrate gender considerations, or measure rural diversity. This population-based observational study examines trends in the geographic and gender distribution and earnings of AHPs in Canada across the rural– urban continuum. Methods: Nationally representative data from the 2006 and 2016 Canadian population censuses were pooled and linked with the geocoded Index of Remoteness for all inhabited communities. Five groups of university-educated AHPs providing prevention, diagnostic evaluation, therapy, and rehabilitation services were identified by occupation. Multiple linear regression models were used to estimate the associations between relative remoteness and annual earnings of AHPs aged 25–54 years, controlling for gender and other personal and professional characteristics. Results: The density of AHPs was found to be 15 times higher in more urbanized and accessible parts of the country (23.6-25.6 per 10 000 population in 2016) compared to the most rural and remote areas (1.6 per 10 000 population), a pattern that changed little over the previous decade. A positive correlation was seen across occupations in terms of the degree of feminization and their geographic dispersion by relative remoteness. While pharmacists residing in more rural and remote communities earned 9% (95% confidence interval 4-15%) more than those in core urban centers, relative remoteness contributed little to wage differentials among dentists, physiotherapists and occupational therapists, or other AHPs in therapy and assessment (no significant difference at p<0.05). Women earned significantly less than men in dentistry, pharmacy, and physical or occupational therapy, after adjusting for remoteness and other characteristics. Conclusion: This study did not find consistent wage disparities by relative remoteness as characterizing allied health professions in Canada. The evidence base to support financial incentives to AHPs to reduce perceived opportunity costs associated with working and living in rural and underserved areas remains limited. More research is needed on the intersections of rurality, gender, and wage differentials among AHPs in different national contexts. [ABSTRACT FROM AUTHOR]

This study investigates the size of the initial wage disadvantage and the patterns of subsequent labor-market assimilation for immigrant workers in South Korea. We find that immigrants to Korea earn 17–29 percent less upon arrival than natives with similar characteristics, and the wage gap diminishes by 1.55 percent per year spent in the country. The patterns of assimilation differ by both gender and country of origin. Males and Asian immigrants generally follow the patterns of all foreign workers. However, females experience a smaller initial wage difference and no convergence, while immigrants from non-Asian countries and Japan initially earn higher wages than natives, but they then experience a relative decline in wages over time. The results of our out-migration analysis suggest that the negative assimilation of non-Asian and Japanese immigrants may be due to positively selected out-migration. [ABSTRACT FROM AUTHOR]

The study examines the foreign-domestic wage differential in Poland during 2014-2017. The individual-level data come from ongoing surveys conducted by a major Polish HR consulting firm. The empirical analysis shows that during this period, there was a substantial (albeit decreasing) raw wage advantage for workers whom foreign-owned firms employed. This differential reduced significantly after controlling for personal, work, and workplace characteristics. Foreign firm employees at the lower end of the earnings distribution faced a smaller wage gap than those at the upper end; the wage gap showed a noticeable decline at all the percentiles over the years. Wage gap decompositions reveal that a predominant portion of the wage differential was due to differences in observed characteristics; nevertheless, a substantial portion of the wage gap remained unexplained. [ABSTRACT FROM AUTHOR]

This paper had the objective to analyze the wage differential, in the formal labor market context, starting by gender (man and woman) and race (white and non-white), comparing the Bahia state in relation to Salvador in 2017.Methodo-logically, the Oaxaca-Blinder (1973) and recentered influence functions (RIF) regression formulated by Firpo et al. (2007) methods were used to measure the behavior of the search variables. The results showed what the wage differential was influenced, significantly, by gender and race aspects, presenting similar be-havior in Salvador compared to Bahia state in 2017, with small differences between the analyzed areas portions.

This paper estimates the differential between wages in the private and the public sectors using the difference-in-differences method. The method relies on estimating the wage changes of those that move from one sector to the other, that is, from the public sector to the private sector or from the private sector to the public sector. We find that the wages fall by 6-12% between years for those that move from the private sector to the public sector in either 2015 or 2016, while wages increase by 7-10% between years when moving from the public sector to the private sector in either 2015 or 2016. [ABSTRACT FROM AUTHOR]

In post-reforms years, employment in organized manufacturing sector was much faster than pre-reform years. Growth momentum of employment has been larger than growth momentum of output. Further, since year 2000, real wages of the workers increased much faster, while per cent share of income wages in value added of industry output showed a decline. Declining wage share is a global phenomenon, not confined to a specific economy. The present paper points out that in all selected years (2006–2007, 2009–2010, 2013–2014 and 2017–2018), rise in labour productivity has increased wage disparity. It implies if wages and salaries of non-workers increase disproportionately due to rise in labour productivity in organized manufacturing factories, the wage disparity will rise. Increase in labour productivity increases average real wages during 2009–2010 and 2017–2018. Also, in 2009–2010 and 2017–2018, increase in capital labour ratio results in an increase in wage rate. Further, study also shows that average wage rate rises and wage disparity falls across the Indian states. [ABSTRACT FROM AUTHOR]

The state of Kerala attracts a large number of in-migrant workers from different parts of India, and available estimates show that there were more than 25 lakh in-migrant workers in Kerala. While higher wage rate in Kerala is regarded as a major pull factor of migration, it is not clear whether in-migrants in Kerala receive wages at par with the natives or above the minimum wages stipulated by the state government for various sectors. Also, there is little evidence available on the wage differentials among the in-migrant workers. Drawing on a primary study conducted at various sites of Kozhikode district in Kerala, this paper attempts to address these questions. The paper illustrates that wage differentials exist at two levels. First is the wage differential between natives and in-migrants irrespective of their skill levels. Second is the wage differential that exists between migrant workers from West Bengal and other states. Further, it shows that the wage differentials among in-migrants workers can be attributed to discrimination that face by being not sufficiently integrated to the Kerala society. The results shed light on the need for state interventions to level the wages of migrants and natives on the one hand design programs for the integration of guest workers who still live on the margins of Kerala society on the other. [ABSTRACT FROM AUTHOR]

suggest that market concentration at aggregate level has a significant structural impact on the wage differential between white-collar and blue-collar workers. Both phenomena are increasing as larger firms are more inclined to employ and pay more white-collar workers, in order to increase and/or maintain their market share by way of innovative tasks carried out by white-collars such as R&D, design and product differentiation, financial/capital market operations, market research, advertising and sales operations, etc. The causality from market concentration to wage differential runs through an effective demand channel and one based on the diffusion of innovations. The innovative contribution of the paper is to reveal this relationship of structural causality, and to provide a new measurement of aggregate market concentration which is calculated as the reverse of the break-even point. The argument is tested for the case of the USA between 1964 and 2007 using Vector Error Correction Model. The findings confirm the existence of a long-run positive relationship from market concentration in the nonfinancial corporate sector to the wage differential.

In contrast to the majority of studies that have treated informal workers as a single homogeneous group, this article accounts for the possibility of "winners" and "losers" among informal workers. Applying unconditional quantile regressions to data from the Indonesian Family Life Survey, the authors are able to estimate the formal–informal wage gaps for different segments of the earnings distribution. Although the evidence confirms the existence of a substantial earnings penalty for many informal workers, there is also a group who earn roughly similar incomes to formal workers. The findings are consistent with Fields's (1990 and 2005) model of heterogeneous informal employment. [ABSTRACT FROM AUTHOR]

This paper is the first to document and analyse the variation of the federal-private pay differential over time. We estimate the evolution of the federal-private pay differential from 1995 to 2017 using Current Population Survey data, enabling us to examine the current pay gap and how it has changed. To do so, wage regressions are estimated by year and used to calculate the yearly federal-private wage differential. To deal with unobserved heterogeneity, we adopt control function methods. We also estimate the probability of receiving employer-provided health insurance and a pension plan each year for each sector. The findings imply that the federal pay differential is invariably positive, but has varied substantially. We examine the reasons for this variation and find that the most robust result is the positive effect of federal spending as a share of GDP, ipromplying that a 1 percentage point increase in federal spending as a share of GDP raises the federal pay differential by 1.3 to 1.75 percentage points. [ABSTRACT FROM AUTHOR]

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In an endogenous growth model with two engines of R&D and capital, we investigate the environment of "inclusive growth" for tax reallocations (tax increases or tax credits) to gain broader benefits in terms of promoting the overall GDP growth without an increase in income inequality. Our results show that a tax increase in the capital‐good sector can result in inclusive growth, boosting overall growth and reducing income inequality, provided that the status quo tax rate is not too high. Surprisingly, tax credits are not able to achieve such inclusive growth. While the GDP growth rises, a tax credit in the R&D sector not only increases income inequality but also decreases the aggregate employment, if the labor mobility cost between the final‐good and R&D/capital‐good sectors is relatively low. This provides a caution to policymakers given the fact that research tax credits have served as a common incentive to strengthen the R&D environment. [ABSTRACT FROM AUTHOR]

This paper provides an analysis of gender wage differential in the overall labour market, public–private sectors in India by applying different decomposition techniques, using the National Sample Survey, 50th, 68th rounds of Employment and Unemployment surveys along with the recently released Periodic Labour Force Survey (2018–2019). The results show that the unexplained component explained the major part of the gap and occupational discrimination was considerably more important than wage discrimination. The increase in gender wage gap in the public sector is because of the implementation of various public employment schemes for nutrition, health and education and the increasing reliance on underpaid women workers in implementing the same. It had the perverse effect of intensifying gender discrimination in terms of occupational segmentation and gender wage gaps. Finally, the study recommends that public policy can play a major positive role in rectifying this distressing situation and a strong political will is required to do so. [ABSTRACT FROM AUTHOR]

This study analyzes college graduates in the workplace to evaluate the effects of horizontal mismatches between education and jobs on wages and mobility. Using the Heckman-Lee and probit models, this study shows that a gender wage gap still exists. However, the size of the gender wage differential depends on the extent of mismatch. Specifically, the female wage penalty decreases from closely-related to somewhat-related and then increases from somewhat-related to not-related. We also show that the wage penalty motivates females to change jobs more often. [ABSTRACT FROM AUTHOR]

We propose to estimate the Blinder-Oaxaca decomposition by a single-equation model augmented with interactions between the group membership and other predictors. The relative importance of predictors on the discriminatory wage gap is examined by the interaction coefficients, which may lead to very different conclusions than the usual percentage calculations using the detailed decomposition method. Comparisons are made between the traditional interpretations and those suggested here using wage data from Finland. The decomposition analysis suggests that the discriminatory male-female wage gap is largely related to work experience, while our preferred model points to the importance of family gap and working industry. [ABSTRACT FROM AUTHOR]

This paper investigates the differences in the wage premium and compliance with the wage cut introduced in Serbia at the end of 2014, between two subsectors of the public sector: the state sector and state‐owned enterprises. Results show that before the austerity measures were introduced, the conditional wage premium was, on average, higher in state‐owned enterprises than in the state sector, with significant differences from the median to the top of the wage distribution. After the austerity measures were introduced, the wage differences between the subsectors deepened, due to lower compliance of state‐owned enterprises with the wage cut. [ABSTRACT FROM AUTHOR]

This study has investigated the impact of globalisation on gender-based gaps in the labor market (GBGLM) of Pakistan for the period 1982-2017. Particularly, the study has estimated the impact of trade openness(OPEN), foreign direct investment (FDI), workers' remittance inflows(WRI) and exchange rate(ER) on gender-based labour force participation rate differential (LFPRD) and wage differential (WD). The study has applied the Autoregressive Distributed Lag (ARDL) model and Johansen's cointegration approach on two models estimated for LFPRD and WD. The error correction models (ECM) have confirmed an error correction mechanism as reflected by negative and significant coefficients of lagged ECM terms. The study has applied all relevant diagnostic tests to ensure the validity of empirical findings. The results of the study indicated that in the long run, OPEN reduced LFPRD and WD, whereas, FDI augmented LFPRD. ER depreciation decreased LFPRD and augmented WD. WRI also augmented LFPRD and WD. The study concluded that OPEN and Real GDP are prominent factors in reducing WD and LFPRD of Pakistan, whereas, FDI and WRI augmented LFPRD. This is a very important finding in the context of the stagnant real sector of Pakistan where agriculture and industry have performed lower than rapidly growing services sector of Pakistan. Since most of the exports emanate from the real sector of Pakistan, therefore, relatively more focus on real sector as compared to financial inflows can play a crucial role in reducing GBGLM of Pakistan. The policy implication based on results is that to reduce GBGLM of Pakistan, trade liberalisation with special focus on the commodity-producing sector is right policy option in Pakistan. [ABSTRACT FROM AUTHOR]

The paper examines the existence of wage differentials and attempts to enquire into the factors determining such differentials in the manufacturing and service sectors of Haryana state. It highlights the relative importance of worker-specific factors and firm-specific factors in explaining wage differentials in the labour market using a semi-logarithmic regression model. Worker-specific factors such as education, work experience, gender and marital status explain around half of the variation in the wage level of workers, whereas firm-specific factors such as nature, size, type and location of the enterprise are able to explain only a small proportion of variation in the wage level, ranging from 17% in the manufacturing sector to 12% in the service sector. This study pinpoints the relative importance of worker-specific factors over firm-specific factors in determining the wage level of workers. Empirical evidence highlights that a significant proportion of the unexplained part in the variation of wages can be attributed to the employer- or firm-specific factors/variables. Thus, this study highlights the importance of human capital in raising the income level of workers and brings out the fact that the quality of human capital is not only important to narrow wage differentials but also helpful in raising the wage level of workers, which is a proxy of standard of living and is the ultimate objective of development. [ABSTRACT FROM AUTHOR]

Following the enactment of the Labour Law in 1995, China's urban labour market witnessed a divergence in both gender wage gap and discrimination against female workers before 2007, and thereafter a convergence in both. Contributions of endowment differentials between male and female workers to wage gap were diminishing because of the consistent improvement in the female workers' endowments. Discrimination against women, on the other hand, kept increasing and exceeded that of endowment differentials and eventually became the dominating contributor by 2002. Driven by the optimisation of female workers' endowments, the execution of new labour market legislation, the transformation of previously limitless labour supply into shortage, as well as the reform of income distribution policies, a long-term trend of convergence in both gender wage gap and discrimination has been forming. China has been striding forward into a society with more equity and justice ever since 2007. [ABSTRACT FROM AUTHOR]

We study optimal non-linear contracts offered by a non-profit and a for-profit firm competing to attract workers, who are privately informed about their ability and motivation. Motivated workers are keen to be hired by the non-profit firm because they adhere to its mission. Workers with different ability self-select into firms depending on which organization holds a competitive advantage. This determines the sign and the composition of the wage differential between firms, which encompasses labor donations induced by motivation and the selection effect of ability. Our model thus rationalizes the mixed empirical evidence concerning for-profit vs non-profit wage differentials. [ABSTRACT FROM AUTHOR]

The issue of salaries including salary levels, evolution, purchasing power, salary differentiation between business areas, development areas, men and women, are some of the aspects that bring forth multiple and lasting concerns not only among researchers, but also to governors and to European bodies interested in the field of labour, employment and in social issues derived from payroll as a way of design, implementation, size and development. A brief analysis of the aspects related in particular to the minimum and average wage, as well as of the share of employees earning the minimum salary, meaning below the threshold of average salaries of employees in the total of European Union countries, on the basis of the data supplied by Eurostat, shows significant differences among them, differences that persist despite a legislative and institutional framework created at EU level to monitor, identify and implement effective solutions, based on the indissoluble bond that exists between wage policies and the economic efficiency of a State.