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The Age of Hiring and Deferred Compensation: Evidence from Australia

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  • SCOTT J. ADAMS
  • JOHN S. HEYWOOD

Abstract

The factors affecting age of hiring are estimated using Australian establishment data. Lower ages of new hires are associated with training and with workplaces using steeper tenure-wage profiles. Lower ages of hires are associated with steeper profiles throughout the age of hire distribution, whereas lower ages of hires are associated with the provision of training only among younger hires. Moreover, the evidence confirms that larger employers are more likely to hire younger workers but that lower ages of hire continue to be associated with steeper tenure-wage profiles even among larger employers. The robust role of the tenure-wage profile suggests that it is too early to conclude, as some have, that specific training is the paramount reason for the reduced hiring prospects of the old. Copyright © 2007 The Economic Society of Australia.

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Bibliographic Info

Article provided by The Economic Society of Australia in its journal Economic Record.

Volume (Year): 83 (2007)
Issue (Month): 261 (06)
Pages: 174-190

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Handle: RePEc:bla:ecorec:v:83:y:2007:i:261:p:174-190

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Cited by:
  1. Ilmakunnas, Pekka & Ilmakunnas, Seija, 2011. "Hiring older employees: Do incentives of early retirement channels matter?," MPRA Paper 30885, University Library of Munich, Germany.
  2. John Heywood & Uwe Jirjahn & Georgi Tsertsvardze, 2010. "Hiring older workers and employing older workers: German evidence," Journal of Population Economics, Springer, vol. 23(2), pages 595-615, March.
  3. Ilmakunnas, Pekka & Ilmakunnas, Seija, 2012. "Age segregation and hiring of older employees: low mobility revisited," MPRA Paper 37655, University Library of Munich, Germany.
  4. Stephan Humpert, 2012. "Age and Gender Differences in Job Opportunities," Working Paper Series in Economics 235, University of Lüneburg, Institute of Economics.
  5. Christian Pfeifer, 2009. "Adjustment of Deferred Compensation Schemes, Fairness Concerns, and Hiring of Older Workers," Working Paper Series in Economics 151, University of Lüneburg, Institute of Economics.
  6. Pfeifer, Christian, 2009. "An Intra-Firm Perspective on Wage Profiles and Employment of Older Workers with Special Reference to Human Capital and Deferred Compensation," Diskussionspapiere der Wirtschaftswissenschaftlichen Fakultät der Leibniz Universität Hannover dp-413, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.

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