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Within- and between-firm mobility in the low-wage labour market

Author

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  • Bolvig, Iben

    (Department of Economics, Aarhus School of Business)

Abstract

Wage mobility among low wage earners has previously been focussing on the characteristics of the low wage earners, whereas the role of the firm has been neglected. The purpose of this study is to focus on the characteristics of the firms when analysing variation in wage mobility. The empirical findings confirm that the characteristics of the employing firm indeed matter for low-wage employees´ likelihood of escaping a low-wage job. Especially does the employing firm affect the destination state – i.e. where a low-wage worker goes after having finished a low-wage job, and the findings enable me to identify three types of firms: career firms with high within-firm upward wage mobility, stepping-stone firms with high between-firm upward wage mobility and dead-end firms with low upward wage mobility.

Suggested Citation

  • Bolvig, Iben, 2004. "Within- and between-firm mobility in the low-wage labour market," Working Papers 04-11, University of Aarhus, Aarhus School of Business, Department of Economics.
    • Handle: RePEc:hhs:aareco:2004_011
    Note: Also available as chapter in: Job Quality and Employer Behaviour / Ed.by Stephen Bazen, Claudio Lucifora and Wiemer Salverda. Palgrave 2005
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    File URL: http://www.hha.dk/nat/wper/04-11_ibenb.pdf
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    References listed on IDEAS

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    Cited by:

    1. Sanne Velthuis & Paul Sissons & Nigel Berkeley, 2019. "Do low-paid workers benefit from the urban escalator? Evidence from British cities," Urban Studies, Urban Studies Journal Limited, vol. 56(8), pages 1664-1680, June.
    2. Tor Eriksson & Niels Westergaard-Nielsen, 2009. "Wage and Labor Mobility in Denmark, 1980-2000," NBER Chapters, in: The Structure of Wages: An International Comparison, pages 101-123, National Bureau of Economic Research, Inc.
    3. Schank Thorsten & Schnabel Claus & Stephani Jens, 2009. "Geringverdiener: Wem und wie gelingt der Aufstieg? / Low-Wage Earners: Who Manages to Reach Higher Wage Levels?," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 229(5), pages 584-614, October.

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    More about this item

    Keywords

    Low wage earners; wage mobility; firm behaviour; employer-employee relations;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects

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