Performance Related Pay and Labor Productivity
AbstractThis paper uses information from a panel of Dutch firms to investigate the labor productivity effects of performance related pay (PRP). We find that PRP increases labor productivity at the firm level with about 9% and employment with about 5%.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2211.
Length: 17 pages
Date of creation: Jul 2006
Date of revision:
Publication status: published in: Journal of Population Economics, 2010, 23 (1), 291-301
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Other versions of this item:
- Gielen, A. C. & Kerkhofs, M.J.M. & Ours, J.C. van, 2006. "Performance Related Pay and Labor Productivity," Discussion Paper, Tilburg University, Center for Economic Research 2006-1, Tilburg University, Center for Economic Research.
- Gielen, Anne & Kerkhofs, Marcel J M & van Ours, Jan C, 2006. "Performance Related Pay and Labour Productivity," CEPR Discussion Papers 5455, C.E.P.R. Discussion Papers.
- C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
- H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
- J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-08-05 (All new papers)
- NEP-BEC-2006-08-05 (Business Economics)
- NEP-EFF-2006-08-05 (Efficiency & Productivity)
- NEP-LAB-2006-08-05 (Labour Economics)
- NEP-PBE-2006-08-05 (Public Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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92.45, UniversitÃƒÂ© PanthÃƒÂ©on-Sorbonne (Paris 1).
- Cahuc, Pierre & Dormont, Brigitte, 1997. "Profit-sharing: Does it increase productivity and employment? A theoretical model and empirical evidence on French micro data," Labour Economics, Elsevier, vol. 4(3), pages 293-319, September.
- Lazear, Edward P, 1986. "Salaries and Piece Rates," The Journal of Business, University of Chicago Press, vol. 59(3), pages 405-31, July.
- Origo, Federica, 2009. "Flexible pay, firm performance and the role of unions. New evidence from Italy," Labour Economics, Elsevier, vol. 16(1), pages 64-78, January.
- Gielen, Anne C., 2007.
"Performance Pay, Training and Labor Mobility,"
IZA Discussion Papers
2932, Institute for the Study of Labor (IZA).
- Gielen, A. C., 2007. "Performance Pay, Training and Labor Mobility," Discussion Paper, Tilburg University, Center for Economic Research 2007-48, Tilburg University, Center for Economic Research.
- Pouliakas, Konstantinos & Theodoropoulos, Nikolaos, 2009. "Performance Pay as an Incentive for Lower Absence Rates in Britain," MPRA Paper 18238, University Library of Munich, Germany.
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