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Temporary employment and segmentation in the Spanish labour market: An empirical analysis through the study of wage differentials

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  • María A.Davia

    ()

  • Virginia Hernanz

    ()

Abstract

We aim to add empirical evidence to the already studied field of wage differentials between temporary and permanent workers in Spain. Our goal is to find out which determinants of wage differentials are relevant when explaining such differences. Furthermore, the endogeneity of such feature (the type of contract) is controlled for. The same exercise is done with two data sets: the ECHP and the Structure of Earnings Survey. Results show that wage differentials between temporary and permanent workers are explained by the differences in the distribution of personal and job characteristics in both groups, but not by differences in the rewards for those characteristics. These results remain mostly unchanged during the second part of the 1990’s, using information from five waves of the ECHP, and are robust to different changes in the econometric specification. Copyright Springer-Verlag Berlin/Heidelberg 2004

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Bibliographic Info

Article provided by Springer in its journal Spanish Economic Review.

Volume (Year): 6 (2004)
Issue (Month): 4 (December)
Pages: 291-318

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Handle: RePEc:spr:specre:v:6:y:2004:i:4:p:291-318

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Related research

Keywords: Temporary employment; wage differentials; Oaxaca-Blinder decomposition and switching endogenous model;

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Cited by:
  1. Cervini-Plá, María & Ramos, Xavi, 2008. "Long Term Earnings Inequality, Earnings Instability and Temporary Employment in Spain: 1993–2000," IZA Discussion Papers 3538, Institute for the Study of Labor (IZA).
  2. Jesús CLEMENTE & Millán DIAZ-FONCEA & Carmen MARCUELLO & Marcos SANSO-NAVARRO, 2012. "The Wage Gap Between Cooperative And Capitalist Firms: Evidence From Spain," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 83(3), pages 337-356, 09.
  3. J. Ignacio García-Pérez & Juan F. Jimeno, 2006. "Public sector wage gaps in Spanish regions," Working Papers 06.10, Universidad Pablo de Olavide, Department of Economics.
  4. Amuedo-Dorantes, Catalina & de la Rica, Sara, 2009. "The Timing of Work and Work-Family Conflicts in Spain: Who Has a Split Work Schedule and Why?," IZA Discussion Papers 4542, Institute for the Study of Labor (IZA).
  5. Bosio, Giulio, 2009. "Temporary employment and wage gap with permanent jobs: evidence from quantile regression," MPRA Paper 16055, University Library of Munich, Germany.
  6. García Serrano, Carlos & Malo, Miguel A, 2013. "Beyond the contract type segmentation in Spain : country case studies on labour market segmentation," ILO Working Papers 481498, International Labour Organization.
  7. McGinnity, Frances & Mertens, Antje, 2002. "Fixed-term contracts in East and West Germany: Low wages, poor prospects?," SFB 373 Discussion Papers 2002,72, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
  8. Takuya Hasebe, 2011. "The Type of Contract and Starting Wage and Wage Growth: The Evidence from New Graduates from Post-Secondary Schools in the Netherlands," Working Papers 20, AlmaLaurea Inter-University Consortium.
  9. Ainhoa Herrarte & Julián Moral-Carcedo & Felipe Sáez, 2012. "The impact of childbirth on Spanish women’s decisions to leave the labor market," Review of Economics of the Household, Springer, vol. 10(3), pages 441-468, September.
  10. Mauricio Zunino, 2012. "Impactos de la reinstauración de los Consejos de Salarios sobre la distribución salarial en Uruguay," Económica, Departamento de Economía, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 0, pages 129-167, January-D.
  11. Juan Prieto & Juan Gabriel Rodríguez & Rafael Salas, . "Polarization, Inequality and Tax Reforms," Working Papers 2003-23, FEDEA.
  12. Matteo PICCHIO, 2006. "Wage Differentials between Temporary and Permanent Workers in Italy," Working Papers 257, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  13. Rudy Fichtenbaum, 2006. "Labour market segmentation and union wage gaps," Review of Social Economy, Taylor & Francis Journals, vol. 64(3), pages 387-420.

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