Pension Portability and Labour Mobility in the United States. New Evidence from SIPP Data
AbstractWe explore the role of employer provided pensions on job mobility choices using data from the Survey of Income and Program Participation. Defined benefit plans are found to have a significant negative effect on mobility. However, we find no significant evidence that the potential pension portability losses deter job mobility among workers covered by these plans. We also find that the portability policy change implemented by the Tax Reform Act of 1986 had only minor effects on mobility. Puzzlingly, defined contribution plans, although fully portable, are found to have an impact similar to defined benefit plans. Evidence of compensation premiums accruing to workers in pension, union and health insurance covered jobs supports the view that workers are less likely to leave 'good jobs'.
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Bibliographic InfoPaper provided by IRISS at CEPS/INSTEAD in its series IRISS Working Paper Series with number 2001-03.
Date of creation: Mar 2001
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Labour mobility ; Pension portability ; Switching regression models;
Other versions of this item:
- Vincenzo Andrietti & Vincent Hildebrand, 2001. "Pension Portability and Labour Mobility in the United States. New Evidence from SIPP Data," Social and Economic Dimensions of an Aging Population Research Papers 42, McMaster University.
- C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Private Pensions
- J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs
This paper has been announced in the following NEP Reports:
- NEP-ALL-2001-10-01 (All new papers)
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Open Access publications from Universidad Carlos III de Madrid
info:hdl:10016/327, Universidad Carlos III de Madrid.
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