Transparency, Recuitment and Retention in the Public Sector

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Transparency, Recuitment and Retention in the Public Sector

Author Info

Gian Luigi Albano
Clare Leaver ()

Abstract

Although performance measurement systems are likely to have significant recruitment and retention consequences these have received much less attention that the individual incentive effects. This paper explores these recruitment and retention consequences in organizations, such as those in the public sector, which are characterized by rigidities in pay. We clarify when performance measurement increases the cost of recruiting and retaining public sector employees and when it does not. Within the same framework, we also show that traditional practices such as tenure based pay and ports of entry can be rationalized as an optimal response to rigidities in pay.

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Paper provided by Department of Economics, University of Bristol, UK in its series The Centre for Market and Public Organisation with number 05/132.

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Length: 30 pages
Date of creation: Sep 2005
Date of revision:
Handle: RePEc:bri:cmpowp:05/132

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Find related papers by JEL classification:
D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
H10 - Public Economics - - Structure and Scope of Government - - - General
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

This paper has been announced in the following NEP Reports:

NEP-ALL-2005-12-09 (All new papers)
NEP-PBE-2005-12-09 (Public Economics)

References listed on IDEAS
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Other versions:
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