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Article
Publication date: 4 January 2024

Maryam Dilmaghani

Using the Canadian Census of 2016, the present study examines the Black and White gap in compensating differentials for their commute to work.

Abstract

Purpose

Using the Canadian Census of 2016, the present study examines the Black and White gap in compensating differentials for their commute to work.

Design/methodology/approach

The data are from the Canadian Census of 2016. The standard Mincerian wage regression, augmented by commute-related variables and their confounders, is estimated by OLS. The estimations use sample weights and heteroscedasticity robust standard errors.

Findings

In the standard Mincerian wage regressions, Black men are found to earn non-negligibly less than White men. No such gap is found among women. When the Mincerian wage equation is augmented by commute duration and its confounders, commute duration is revealed to positively predict wages of White men and negatively associate with wages of Black men. At the same time, in the specifications including commute duration and its confounders, the coefficient for the dummy variable identifying Black men is positive with a non-negligible size. The latter pattern indicates wage discrepancies among Black men by their commute duration. Again, no difference is found between Black and White women in these estimations.

Research limitations/implications

The main caveat is that due to data limitations, causal estimates could not be produced.

Practical implications

For the Canadian working men, the uncovered patterns indicate both between and within race gaps in the impact of commuting on wages. Particularly, Black men seem to commute longer towards relatively lower paying jobs, while the opposite holds for their White counterparts. However, Black men who reside close to their work earn substantially more than both otherwise identical White men and Black men who live far away from their jobs. The implications for research and policy are discussed.

Originality/value

This is the first paper focused on commute compensating differentials by race using Canadian data.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Open Access
Article
Publication date: 29 February 2024

Leandro Pinheiro Vieira and Rafael Mesquita Pereira

This study aims to investigate the effect of smoking on the income of workers in the Brazilian labor market.

Abstract

Purpose

This study aims to investigate the effect of smoking on the income of workers in the Brazilian labor market.

Design/methodology/approach

Using data from the 2019 National Health Survey (PNS), we initially address the sample selection bias concerning labor market participation by using the Heckman (1979) method. Subsequently, the decomposition of income between smokers and nonsmokers is analyzed, both on average and across the earnings distribution by employing the procedure of Firpo, Fortin, and Lemieux (2009) - FFL decomposition. Ñopo (2008) technique is also used to obtain more robust estimates.

Findings

Overall, the findings indicate an income penalty for smokers in the Brazilian labor market across both the average and all quantiles of the income distribution. Notably, the most significant differentials and income penalties against smokers are observed in the lower quantiles of the distribution. Conversely, in the higher quantiles, there is a tendency toward a smaller magnitude of this gap, with limited evidence of an income penalty associated with this habit.

Research limitations/implications

This study presents an important limitation, which refers to a restriction of the PNS (2019), which does not provide information about some subjective factors that also tend to influence the levels of labor income, such as the level of effort and specific ability of each worker, whether smokers or not, something that could also, in some way, be related to some latent individual predisposition that would influence the choice of smoking.

Originality/value

The relevance of the present study is clear in identifying the heterogeneity of the income gap in favor of nonsmokers, as in the lower quantiles there was a greater magnitude of differentials against smokers and a greater incidence of unexplained penalties in the income of these workers, while in the higher quantiles, there was low magnitude of the differentials and little evidence that there is a penalty in earnings since the worker is a smoker.

Details

EconomiA, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1517-7580

Keywords

Article
Publication date: 2 November 2023

Benjamin Artz

The study's objective is to measure the gender gap in quit behavior, consider whether it has changed over time and determine whether parenthood affects the gender gap in quit…

Abstract

Purpose

The study's objective is to measure the gender gap in quit behavior, consider whether it has changed over time and determine whether parenthood affects the gender gap in quit decisions.

Design/methodology/approach

The quantitative study design leverages two separate USA data sources to analyze the gender gap in quits over time. Two separate cohorts confirm the study's results in Logit, ordinary least squares (OLS) and fixed effects estimations, using the Current Population Survey (CPS) and the National Longitudinal Survey of Youth (NLSY).

Findings

After controlling for demographic and job characteristics, individual and geographic fixed effects and local unemployment rates, the study finds that the gender gap in voluntary turnover has declined over time and that parenthood's effect on quit behavior has converged between genders.

Originality/value

Women earn less than men. One common explanation is women's propensity to interrupt their careers, often voluntarily, more so than men. Yet, the determinants and trends of this gender gap in quit behavior has not been given much attention in the literature, including the role of parenthood.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 2 January 2024

Kenta Ikeuchi, Kyoji Fukao and Cristiano Perugini

The authors' work aims to identify the employer-specific drivers of the college (or university) wage gap, which has been identified as one of the major determinants of the…

Abstract

Purpose

The authors' work aims to identify the employer-specific drivers of the college (or university) wage gap, which has been identified as one of the major determinants of the dynamics of overall wage and income inequality in the past decades. The authors focus on three employer-level features that can be associated with asymmetries in the employment relation orientation adopted for college and non-college-educated employees: (1) size, (2) the share of standard employment and (3) the pervasiveness of incentive pay schemes.

Design/methodology/approach

The authors' establishment-level analysis (data from the Basic Survey on Wage Structure (BSWS), 2005–2018) focusses on Japan, an economy characterised by many unique economic and institutional features relevant to the aims of the authors' analysis. The authors use an adjusted measure of firm-specific college wage premium, which is not biased by confounding individual and establishment-level factors and reflects unobservable characteristics of employees that determine the payment of a premium. The authors' empirical methods account for the complexity of the relationships they investigate, and the authors test their baseline outcomes with econometric approaches (propensity score methods) able to address crucial identification issues related to endogeneity and reverse causality.

Findings

The authors' findings indicate that larger establishment size, a larger share of regular workers and more pervasive implementation of IPSs for college workers tend to increase the college wage gap once all observable workers, job and establishment characteristics are controlled for. This evidence corroborates the authors' hypotheses that a larger establishment size, a higher share of regular workers and a more developed set-up of performance pay schemes for college workers are associated with a better capacity of employers to attract and keep highly educated employees with unobservable characteristics that justify a wage premium above average market levels. The authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.

Originality/value

The authors' contribution to the existing knowledge is threefold. First, the authors combine the economics and management/organisation literature to develop new insights that underpin the authors' testable empirical hypotheses. This enables the authors to shed light on employer-level drivers of wage differentials (size, workforce composition, implementation of performance-pay schemes) related to many structural, institutional and strategic dimensions. The second contribution lies in the authors' measure of the “adjusted” college wage gap, which is calculated on the component of individual wages that differs between observationally identical workers in the same establishment. As such, the metric captures unobservable workers' characteristics that can generate a wage premium/penalty. Third, the authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 28 July 2023

Aigerim Yergabulova, Dinara Alpysbayeva and Venkat Subramanian

The aim of the paper is to explore within-firm vertical pay inequality and its relation to firm size and firm performance.

Abstract

Purpose

The aim of the paper is to explore within-firm vertical pay inequality and its relation to firm size and firm performance.

Design/methodology/approach

Using firm-level microdata for Kazakhstan, the authors measure within-firm pay inequality as the wage differential between the top- and the bottom-level job occupations. The authors carry out their analysis based on panel regression models.

Findings

The authors find that within-firm pay inequality increases as firms grow. Further, they identify that this trend is mainly driven by top-occupation workers receiving more significant wage increases compared to lower-level workers as firms expand. Once the authors address concerns about endogeneity, they find that pay inequality is negatively associated with firm performance.

Practical implications

Developing strategies and policies that prioritize fairness and transparency in compensation practices is crucial during the expansion process of firms. By actively discouraging rent-seeking behavior, firms can create a work environment that promotes productivity and sustainability, ultimately leading to improved firm performance. The research findings highlight the importance of implementing context-specific interventions, recognizing that different environments may require tailored approaches to address pay inequality effectively.

Originality/value

This study contributes to the study of within-firm pay inequality, firm size and performance in an emerging economy, an area that has been largely overlooked in previous empirical research. The contrasting findings show the importance of the structural and industrial characteristics of emerging markets that contribute to broader and deeper impact of pay inequality compared to developed economies.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 13 September 2023

Jakub Harman and Lucia Bartůsková

The gender pay gap is a well-documented phenomenon in labor economics. Based on the 2018 Structure of Earnings Survey (SES), the authors estimate the impact of observable…

Abstract

Purpose

The gender pay gap is a well-documented phenomenon in labor economics. Based on the 2018 Structure of Earnings Survey (SES), the authors estimate the impact of observable characteristics on the gender pay gap in Visegrad Group countries and provide policy recommendations on reducing the gender pay gap.

Design/methodology/approach

The Oaxaca-Blinder decomposition is applied to estimate the values of explained and unexplained parts of the gender pay gap. Gender pay gap in unadjusted as well as adjusted form is estimated using data on the individual level.

Findings

The results show that unadjusted gender pay gap proved to be stable at more than 20%. The authors found evidence that education widens gender pay gap implying that men have higher returns on education than women. Tertiary education proved to be the highest contributor to widening of gender pay gap. Results also show that there is strong sectoral and occupational segregation. Decomposition proved that only 21% of gender pay gap could be explained by observed characteristics. The unexplained part showed negative values, meaning women would have higher wages, if they had characteristics like men.

Research limitations/implications

Structure of Earnings Survey data are published every four years; therefore the authors’ dataset from year 2018 might not completely reflect today's reality. Unfortunately, newer data are note available yet. Second, Structure of Earning Survey data do not contain variables representing social factors of respondents like marital status, number of children or labour market absence due to birth or childcare. Third, data used for this study do not contain firms that have less than 10 employees; therefore, considerable portion of the labour market is omitted.

Originality/value

Results of this study will help policymakers understand the roots and causes of the gender pay gap in Visegrad Group countries but addressing this issue requires further research.

Details

Journal of Economic Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 29 April 2024

Giovanni Gallo, Silvia Granato and Michele Raitano

The Covid-19 pandemic appears to have engendered heterogeneous effects on individuals’ labour market prospects. This paper focuses on two possible sources of a heterogeneous…

Abstract

Purpose

The Covid-19 pandemic appears to have engendered heterogeneous effects on individuals’ labour market prospects. This paper focuses on two possible sources of a heterogeneous exposition to labour market risks associated with the pandemic outbreak: the routine task content of the job and the teleworkability. To evaluate whether these dimensions played a crucial role in amplifying employment and wage gaps among workers, we focus on the case of Italy, the first EU country hit by Covid-19.

Design/methodology/approach

Investigating the actual effect of the pandemic on workers employed in jobs with a different degree of teleworkability and routinization, using real microdata, is currently unfeasible. This is because longitudinal datasets collecting annual earnings and the detailed information about occupations needed to capture a job’s routine task content and teleworkability are not presently available. To simulate changes in the wage distribution for the year 2020, we have employed a static microsimulation model. This model is built on data from the Statistics on Income and Living Conditions (IT-SILC) survey, which has been enriched with administrative data and aligned with monthly observed labour market dynamics by industries and regions.

Findings

We measure the degree of job teleworkability and routinization with the teleworkability index (TWA) built by Sostero et al. (2020) and the routine-task-intensity index (RTI) developed by Cirillo et al. (2021), respectively. We find that RTI and TWA are negatively and positively associated with wages, respectively, and they are correlated with higher (respectively lower) risks of a large labour income drop due to the pandemic. Our evidence suggests that labour market risks related to the pandemic – and the associated new types of earnings inequality that may derive – are shaped by various factors (including TWA and RTI) instead of by a single dimension. However, differences in income drop risks for workers in jobs with varying degrees of teleworkability and routinization largely reduce when income support measures are considered, thus suggesting that the redistributive effect of the emergency measures implemented by the Italian government was rather effective.

Originality/value

No studies have so far investigated the effect of the pandemic on workers employed in jobs with a different degree of routinization and teleworkability in Italy. We thus investigate whether income drop risks in Italy in 2020 – before and after income support measures – differed among workers whose jobs are characterized by a different degree of RTI and TWA.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Open Access
Article
Publication date: 11 April 2023

Christopher Mackin

The field of broad-based employee ownership within corporations is a specific application of the foundational topic of property ownership. It is situated at the intersection of a…

2242

Abstract

Purpose

The field of broad-based employee ownership within corporations is a specific application of the foundational topic of property ownership. It is situated at the intersection of a broad range of scholarly disciplines including economics, law, finance and management. Each discipline contributes vocabulary and distinctions describing this field. That broad spectrum of disciplinary inquiry is a strength but it also lends a “ships passing in the night” quality to discussions of employee ownership. This paper attempts to unravel the narrative diversity surrounding this topic. Four meanings of ownership are introduced. Those meanings are in turn embedded within two abstract models of the corporation; the corporation as property and the corporation as social institution.

Design/methodology/approach

There is no experimental design The paper presents a conceptual overview and introduces a taxonomy of four meanings and two models of ownership.

Findings

Four meanings of ownership are introduced. The meanings are ownership as compensation, investment, retirement and membership. Those meanings are in turn embedded within two abstract models of the corporation; the corporation as property and the corporation as social institution.

Research limitations/implications

No hypotheses are advanced. This is not a research paper. A conceptual overview that makes use of taxonomy of meanings and models is introduced to help clarify confusions abundant in the field of employee ownership. Readers may differ with the categories of meanings and models introduced in this conceptual overview.

Practical implications

The ambition of the paper is to describe the various meanings and models of employee ownership presently in use in both academic and applied settings. It is not necessary or desirable to assert the primacy of a single meaning or model in order to achieve progress. The analysis provided here surfaces a range of assumptions about ownership that have heretofore been implicit in both scholarship and in practice. Making those assumptions explicit should prove useful to both scholars and practitioners of employee ownership.

Social implications

The concept of employee ownership enjoys a relatively broad appeal with the public. Among the academic disciplines that have trained their lights upon it, a more mixed reception prevails. Much of the academic and policy controversy derives from confusion about the nature and structure of employee ownership. This paper attempts to address that confusion by presenting a taxonomy of meanings and models that may prove useful for future research.

Originality/value

This study is one of the first efforts to comprehinsively map the various meanings and models of broad-based employee ownership.

Details

Journal of Participation and Employee Ownership, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-7641

Keywords

Article
Publication date: 18 September 2023

Hao Li

The study aims to study the effect of non-cognitive ability in human capital on the wages of rural migrant workers in China. The study also examines the mechanisms by which career…

Abstract

Purpose

The study aims to study the effect of non-cognitive ability in human capital on the wages of rural migrant workers in China. The study also examines the mechanisms by which career choice, career development and social capital influence.

Design/methodology/approach

Based on the new human capital theory, this paper empirically investigates the effects and mechanisms of rural migrant workers' non-cognitive ability on wages using the 2018 China Family Panel Studies database and Stata 17.0 for construct validation and hypothesis testing.

Findings

The results showed that non-cognitive ability has a significant positive effect on rural migrant workers' wages. Subsequently, the mechanism of non-cognitive ability was examined. In further analysis, the study found that non-cognitive ability has a greater effect on the wages of vulnerable individuals (females, low and medium skills) among the rural migrant workers.

Originality/value

The originality of this study is to break through the existing research perspectives, overcome the limitations of scholars' existing research perspectives focusing on the employment and competitiveness of rural migrant workers in China and explore the factors affecting the rural migrant workers' wages from the perspective of non-cognitive ability as a new entry point by combining psychology. At the same time, the study design is more rigorous, avoiding the measurement error of variables.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 20 February 2024

Chan Hum, Tae-Hee Choi, Sing-Kai Lo, Say Sok and Wai Mui Christina Yu

This study examines the management practices and alignment features needed to develop academic staff’s careers, mainly focusing on teaching competencies in the evolving landscape…

Abstract

Purpose

This study examines the management practices and alignment features needed to develop academic staff’s careers, mainly focusing on teaching competencies in the evolving landscape of Cambodian public universities.

Design/methodology/approach

A multiple-case research design was adopted to collect data from interviews with 11 academic leaders and focus-group discussions (FGDs) with 13 academic teachers at two public universities in provincial Cambodia. A thematic approach was performed to code and analyse data to address the research questions.

Findings

This study found that the management of academic careers in the selected universities was hybrid, deregulating state control to relative institutional autonomy for contracted employees but rather centralised management for civil servants. However, weak institutional leadership and negligence in formulating comprehensive institutional guidelines for strategic human resource management (HRM) have caused misalignments of management practices to develop academic careers in the studied contexts.

Research limitations/implications

This case study limits its findings to two universities in provincial Cambodia. Nevertheless, this study adds to the scarce literature on the research topic in Cambodian public universities and opens a path for cross-institutional and national comparative studies on similar foci.

Originality/value

This is a ground-breaking study set in the evolving space of Cambodian public higher education, where attention to the research area remains limited.

Details

International Journal of Comparative Education and Development, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2396-7404

Keywords

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