Worker flows, job flows and establishment wage differentials : analyzing the case of France
AbstractWe address the relation between establishment wage differentials and worker flows, i.e. the churning rate and the quit rate. Our analysis is based on a linked employer-employee dataset covering the French private non-farm sector from 2002 to 2005. Our estimations support the hypothesis that wage premium is an efficient human resource management tool to stabilize workers : churning rates are lower in high-paying firms due to lower quit rates. We further show that the relation is not linear, and it differs among skill groups and according to establishment size : it is strongest for low-wage levels, for low-skilled workers and in large establishments.
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Date of creation: Apr 2011
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Establishment wage effects; worker flows; churning rate; quite rate; linked employer-employee panel data; France.;
Other versions of this item:
- Richard Duhautois & Fabrice Gilles & Héloïse Petit, 2011. "Worker flows, job flows and establishment wage differentials: analyzing the case of France," Documents de travail du Centre d'Economie de la Sorbonne 11024, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-05-30 (All new papers)
- NEP-EUR-2011-05-30 (Microeconomic European Issues)
- NEP-LAB-2011-05-30 (Labour Economics)
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