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An Analysis of Quits, Dismissals, and Promotions at a Large Retail Firm

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Author Info

  • Laura Giuliano

    ()
    (Department of Economics, University of Miami)

  • David I. Levine

    ()
    (Haas School of Business, University of California at Berkeley)

  • Jonathon Leonard

    ()
    (Haas School of Business, University of California at Berkeley)

Abstract

Using data from a large U.S. retail firm, we examine how differences in race, age, and gender between a manager and a subordinate affect the subordinate’s rate of quits, dismissals, and promotions. These differences can have statistically significant and sometimes large effects— especially differences in race and ethnicity. In most cases, these differences produce adverse effects—i.e., higher quit and dismissal rates, and lower promotion rates. But in three cases, where traditionally lower-status managers supervise higher-status employees, differences produce favorable effects. With respect to race, this means having a different-race manager hurts black and Hispanic employees, but helps white employees.

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File URL: http://moya.bus.miami.edu/~lgiuliano/Quits.pdf
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Bibliographic Info

Paper provided by University of Miami, Department of Economics in its series Working Papers with number 0721.

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Length: 42 pages
Date of creation: Jul 2006
Date of revision:
Publication status: Forthcoming: Under Review, Journal of Human Resources
Handle: RePEc:mia:wpaper:0721

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Related research

Keywords: race; ethnicity; racial discrimination; turnover; promotions;

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References

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  1. Laura Giuliano & David I. Levine & Jonathon Leonard, 2006. "Manager Race and the Race of New Hires," Working Papers 0722, University of Miami, Department of Economics.
  2. Timothy Bates, 1994. "Utilization of minority employees in small business: A comparison of nonminority and black-owned urban enterprises," The Review of Black Political Economy, Springer, vol. 23(1), pages 113-121, June.
  3. Michael A. Stoll & Steven Raphael & Harry J. Holzer, 2004. "Black job applicants and the hiring officer's race," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 57(2), pages 267-287, January.
  4. Joseph Price & Justin Wolfers, 2010. "Racial Discrimination Among NBA Referees," The Quarterly Journal of Economics, MIT Press, vol. 125(4), pages 1859-1887, November.
  5. Becker, Gary S., 1971. "The Economics of Discrimination," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226041162, March.
  6. Thomas S. Dee, 2005. "A Teacher Like Me: Does Race, Ethnicity, or Gender Matter?," American Economic Review, American Economic Association, vol. 95(2), pages 158-165, May.
  7. Kate Antonovics & Brian G. Knight, 2009. "A New Look at Racial Profiling: Evidence from the Boston Police Department," The Review of Economics and Statistics, MIT Press, vol. 91(1), pages 163-177, February.
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Cited by:
  1. Danilo Coelho & Marcelo Fernandes & Miguel Nathan Foguel, 2007. "Foreign Capital And Gender Differences In Promotions: Evidence From The Brazilian Transformation Industry," Anais do XXXV Encontro Nacional de Economia [Proceedings of the 35th Brazilian Economics Meeting] 167, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
  2. Kurtulus, Fidan Ana & Tomaskovic-Devey, Donald, 2012. "Do Women Top Managers Help Women Advance? A Panel Study Using EEO-1 Records," IZA Discussion Papers 6444, Institute for the Study of Labor (IZA).
  3. Oriana Bandiera & Iwan Barankay & Imran Rasul, 2009. "Social Connections and Incentives in the Workplace: Evidence From Personnel Data," Econometrica, Econometric Society, vol. 77(4), pages 1047-1094, 07.
  4. Francine Blau & Jed DeVaro, 2006. "New Evidence on Gender Differences in Promotion Rates: An Empirical Analysis of a Sample of New Hires," Working Papers 891, Princeton University, Department of Economics, Industrial Relations Section..
  5. Johnston, David W. & Lee, Wang-Sheng, 2011. "Climbing the Job Ladder: New Evidence of Gender Inequity," IZA Discussion Papers 5970, Institute for the Study of Labor (IZA).
  6. Fidan Ana Kurtulus & Donald Tomaskovic-Devey, 2011. "Do Women Top Managers Help Women Advance? A Panel Study Using EEO-1 Records," UMASS Amherst Economics Working Papers 2011-14, University of Massachusetts Amherst, Department of Economics.
  7. Knut Gerlach & Olaf Hübler, 2009. "Employment Adjustments on the Internal and External Labour Market – An Empirical Study with Personnel Records of a German Company," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 229(2-3), pages 198-213, June.
  8. Wilkins, Roger & Wooden, Mark, 2011. "Gender Differences in Rates of Job Dismissal: Why Are Men More Likely to Lose Their Jobs?," IZA Discussion Papers 6225, Institute for the Study of Labor (IZA).
  9. Empar Pons Blasco & Luisa Escriche Bertolín, 2009. "Who moves up the career ladder? A model of gender differences in job promotion," Working Papers. Serie AD 2009-23, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).

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