Does the Statutory Overtime Premium Discourage Long Workweeks?
AbstractUsing a pooled data set consisting of 20 annual observations on each of eleven major industry groups, I estimate the effects of overtime pay regulation on weekly work schedules. After controlling for workweek trends within industries, the sharp expansions in overtime pay coverage resulting from legislative amendments and Supreme Court decisions produced no discernible impact on overtime hours. This finding is consistent with a model of labor market equilibrium in which straight-time hourly wages adjust to neutralize the statutory overtime premium.
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Bibliographic InfoPaper provided by Department of Economics, UC Santa Barbara in its series University of California at Santa Barbara, Economics Working Paper Series with number qt4c36k4fq.
Date of creation: 01 Feb 1997
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Statutory; Overtime; Premium; Long Workweeks;
Other versions of this item:
- Stephen J. Trejo, 2003. "Does the statutory overtime premium discourage long workweeks?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 56(3), pages 530-551, April.
- Trejo, Stephen, 2001. "Does the Statutory Overtime Premium Discourage Long Workweeks?," IZA Discussion Papers 373, Institute for the Study of Labor (IZA).
- J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
- J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
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- Pierre Cahuc & St�phane Carcillo, 2014. "The Detaxation of Overtime Hours: Lessons from the French Experiment," Journal of Labor Economics, University of Chicago Press, vol. 32(2), pages 361 - 400.
- Cahuc, Pierre & Carcillo, Stéphane, 2011. "The Detaxation of Overtime Hours: Lessons from the French Experiment," CEPR Discussion Papers 8217, C.E.P.R. Discussion Papers.
- Kuroda, Sachiko & Yamamoto, Isamu, 2012. "Impact of overtime regulations on wages and work hours," Journal of the Japanese and International Economies, Elsevier, vol. 26(2), pages 249-262.
- Andrew Figura, 2004. "Workweek flexibility and hours variation," Finance and Economics Discussion Series 2004-59, Board of Governors of the Federal Reserve System (U.S.).
- Regt,Erik R.,de, 2005. "Overtime and Short-time with Fluctuating Absenteeism and Demand," Research Memorandum 026, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
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