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Job mobility and the gender wage gap

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  • Emilia Del Bono
  • Daniela Vuri

    ()
    (Dipartimento di Economia, Sapienza University of Rome Italy)

Abstract

This paper investigates the way in which job mobility contributes to the emergence of a gender wage gap in the Italian labour market. We show that men experience higher wage growth than women during the first 10 years of their career, and that this difference is particularly large when workers move across firms. This gender mobility penalty is robust to the inclusion of individual, job and firm characteristics, to different ways of accounting for individual unobserved heterogeneity, and is mainly found for voluntary job moves. Exploring the wage growth of job movers, we find that a significant gender wage penalty emerges when workers move to larger firms. This might be explained by the fact that bigger establishments offer jobs more highly valued by women than men or that the relationship between job satisfaction and firm size is less negative for women than men. Using data on job satisfaction, we find evidence for the latter hypothesis as well as some indication that wages and fringe benefits compensate for lower levels of job satisfaction in larger firms, but that this is so only for men.

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File URL: http://dipartimento.dse.uniroma1.it/DSEISFOL/papers/DelBono_Vuri_7_2008_WP.pdf
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Bibliographic Info

Paper provided by Dipartimento di Economia, Sapienza University of Rome in its series Working Papers - Dipartimento di Economia with number 7-DEISFOL.

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Length: 38 pages
Date of creation: 2008
Date of revision: 2008
Handle: RePEc:des:wpaper:13

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Web page: http://dipartimento.dse.uniroma1.it/economia/
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Related research

Keywords: panel data; job mobility; gender gap; wage growth; job satisfaction;

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References

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  1. Bratti, Massimiliano & Del Bono, Emilia & Vuri, Daniela, 2004. "New Mothers' Labour Force Participation in Italy: The Role of Job Characteristics," IZA Discussion Papers 1111, Institute for the Study of Labor (IZA).
  2. Favaro, Donata & Magrini, Stefano, 2008. "Group versus individual discrimination among young workers: A distributional approach," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(5), pages 1856-1879, October.
  3. Joseph G. Altonji & Rebecca M. Blank, . "Race and Gender in the Labor Market," IPR working papers 98-18, Institute for Policy Resarch at Northwestern University.
  4. Abowd, J.M. & Kramarz, F. & Margolis, D.N., 1995. "High-Wage Workers and High-Wage Firms," Cahiers de recherche 9503, Universite de Montreal, Departement de sciences economiques.
  5. Lia Pacelli & Silvia Pasqua & Claudia Villosio, 2008. "What does the stork bring to women's working career?," LABORatorio R. Revelli Working Papers Series 78, LABORatorio R. Revelli, Centre for Employment Studies.
  6. Alan Manning & Joanna Swaffield, 2008. "The gender gap in early-career wage growth," Economic Journal, Royal Economic Society, vol. 118(530), pages 983-1024, 07.
  7. Mincer, Jacob & Polachek, Solomon, 1974. "Family Investment in Human Capital: Earnings of Women," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages S76-S108, Part II, .
  8. Bernd Fitzenberger & Astrid Kunze, 2005. "Vocational Training and Gender: Wages and Occupational Mobility among Young Workers," Oxford Review of Economic Policy, Oxford University Press, vol. 21(3), pages 392-415, Autumn.
  9. Light, Audrey & Ureta, Manuelita, 1995. "Early-Career Work Experience and Gender Wage Differentials," Journal of Labor Economics, University of Chicago Press, vol. 13(1), pages 121-54, January.
  10. Thomas F. Crossley & Stephen R. G. Jones & Peter Kuhn, 1994. "Gender Differences in Displacement Cost: Evidence and Implications," Journal of Human Resources, University of Wisconsin Press, vol. 29(2), pages 461-480.
  11. Josef Zweimuller & Rudolf Winter-Ebmer, 1999. "Firm-Size Wage Differentials in Switzerland: Evidence from Job-Changers," American Economic Review, American Economic Association, vol. 89(2), pages 89-93, May.
  12. Gerrit Mueller & Erik Plug, 2004. "Estimating the Effect of Personality on Male-Female Earnings," Tinbergen Institute Discussion Papers 04-087/3, Tinbergen Institute, revised 31 Aug 2005.
  13. Keith A. Bender & Susan M. Donohue & John S. Heywood, 2005. "Job satisfaction and gender segregation," Oxford Economic Papers, Oxford University Press, vol. 57(3), pages 479-496, July.
  14. repec:bla:restud:v:72:y:2005:i:1:p:77-108 is not listed on IDEAS
  15. repec:ese:iserwp:2008-30 is not listed on IDEAS
  16. Geyer, Johannes & Steiner, Viktor, 2007. "Short-Run and Long-Term Effects of Childbirth on Mothers’ Employment and Working Hours Across Institutional Regimes: An Empirical Analysis Based on the European Community Household Panel," IZA Discussion Papers 2693, Institute for the Study of Labor (IZA).
  17. Keith, Kristen & McWilliams, Abagail, 1997. "Job Mobility and Gender-Based Wage Growth Differentials," Economic Inquiry, Western Economic Association International, vol. 35(2), pages 320-33, April.
  18. Kristen Keith & Abagail McWilliams, 1999. "The Returns to mobility and job search by gender," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 52(3), pages 460-477, April.
  19. Dolton, P J & Makepeace, G H, 1986. "Sample Selection and Male-Female Earnings Differentials in the Graduate Labour Market," Oxford Economic Papers, Oxford University Press, vol. 38(2), pages 317-41, July.
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