Does the Statutory Overtime Premium Discourage Long Workweeks?
AbstractUsing a pooled data set consisting of 20 annual observations on each of eleven major industry groups, I estimate the effects of overtime pay regulation on weekly work schedules. After controlling for workweek trends within industries, the sharp expansions in overtime pay coverage resulting from legislative amendments and Supreme Court decisions produced no discernible impact on overtime hours. This finding is consistent with a model of labor market equilibrium in which straight-time hourly wages adjust to neutralize the statutory overtime premium.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 373.
Length: 57 pages
Date of creation: Oct 2001
Date of revision:
Publication status: published in: Industrial and Labor Relations Review, 2003, 56 (3), 530-551
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Other versions of this item:
- Stephen J. Trejo, 2003. "Does the statutory overtime premium discourage long workweeks?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 56(3), pages 530-551, April.
- Trejo, Stephen J., 1997. "Does the Statutory Overtime Premium Discourage Long Workweeks?," University of California at Santa Barbara, Economics Working Paper Series qt4c36k4fq, Department of Economics, UC Santa Barbara.
- J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
- J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
This paper has been announced in the following NEP Reports:
- NEP-ALL-2001-11-05 (All new papers)
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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