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Supply of skilled labour and organizational change

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  • Nikolowa, Radoslawa

Abstract

The paper develops a model where the structure of organizations is a choice variable for firms and depends on conditions in the labour market. It shows that an increase in the supply of skilled labour may lead firms to adopt organizations with less hierarchical levels. This organizational change increases firms' demand for skilled agents and qualitatively modifies their jobs (i.e. the set of tasks assigned to skilled employees) thus increasing the skilled wage premium.

Suggested Citation

  • Nikolowa, Radoslawa, 2010. "Supply of skilled labour and organizational change," Labour Economics, Elsevier, vol. 17(3), pages 514-522, June.
    • Handle: RePEc:eee:labeco:v:17:y:2010:i:3:p:514-522
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    References listed on IDEAS

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    Cited by:

    1. Kuhn, Dieter, 2011. "Delayering and Firm Performance: Evidence from Swiss firm-level Data," Working papers 2011/02, Faculty of Business and Economics - University of Basel.
    2. Enoch Hill & David Perez-Reyna, 2017. "Managing skill premium through firm structure," Documentos CEDE 15626, Universidad de los Andes, Facultad de Economía, CEDE.
    3. Kohei Daido & Ken Tabata, 2012. "Skill-Biased Technological Change, Organizational Change, and Wage Inequality," Discussion Paper Series 84, School of Economics, Kwansei Gakuin University, revised Feb 2012.

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