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Exploring Job Satisfaction in Private and Public Employment: Empirical Evidence from Greece

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  • Michael Demoussis
  • Nicholas Giannakopoulos

Abstract

This paper analyses subjective job satisfaction (JS) responses by employees in the public and private sectors of the Greek labour market. Panel data covering the period 1995-2001 and a random effects ordered probit model are used for estimation purposes. The results of the econometric estimation show that a substantial JS differential exists between the two sectors, in every JS domain and always in favour of public employment. A typical ordered decomposition analysis indicates that about one-third of the difference in expected JS can be explained by differences in employee characteristics and two-thirds by unobserved sector-specific inbuilt features. The comparison of wage reductions, which a representative employee will be prepared to endure in order to avoid employment in the private sector, reveals that the regularity of working schedules is appreciated more than any other facet of JS. The obtained results enhance the existing apparatus for evaluating government policies in the labour market. Copyright 2007 The Authors; Journal compilation 2007 CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd..

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Bibliographic Info

Article provided by CEIS in its journal LABOUR.

Volume (Year): 21 (2007)
Issue (Month): 2 (06)
Pages: 333-359

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Handle: RePEc:bla:labour:v:21:y:2007:i:2:p:333-359

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Cited by:
  1. David Madden, 2010. "Gender Differences in Mental Well-Being: a Decomposition Analysis," Social Indicators Research, Springer, vol. 99(1), pages 101-114, October.
  2. Lea Sell & Bryan Cleal, 2011. "Job Satisfaction, Work Environment, and Rewards: Motivational Theory Revisited," LABOUR, CEIS, vol. 25(1), pages 1-23, 03.
  3. Demoussis, Michael & Giannakopoulos, Nicholas, 2008. "Analysis of domain satisfactions: Evidence from a panel of Greek women," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(4), pages 1347-1362, August.
  4. John Gibson, 2007. "The Public Sector Pay Premium and Compensating Differentials in the New Zealand Labour Market," Working Papers in Economics 07/20, University of Waikato, Department of Economics.
  5. Stefania Capecchi & Maria Iannario & Domenico Piccolo, 2012. "Modelling Job Satisfaction in AlmaLaurea Surveys," Working Papers 56, AlmaLaurea Inter-University Consortium.
  6. Robin Zoutenbier, 2014. "The Impact of Matching Mission Preferences on Well-being at Work," Tinbergen Institute Discussion Papers 14-036/I, Tinbergen Institute.
  7. Danzer, Natalia, 2013. "Job Satisfaction and Self-Selection into the Public or Private Sector: Evidence from a Natural Experiment," IZA Discussion Papers 7644, Institute for the Study of Labor (IZA).
  8. Nuno Crespo & Nádia Simões & José Castro Pinto, 2013. "Determinant factors of job quality in Europe," Working Papers Series 2 13-01, ISCTE-IUL, Business Research Unit (BRU-IUL).
  9. Antonio Di Paolo, 2012. "(Endogenous) occupational choices and job satisfaction among recent PhD recipients: evidence from Catalonia," Working Papers XREAP2012-21, Xarxa de Referència en Economia Aplicada (XREAP), revised Dec 2012.

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