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Are young workers compensated for a high strain job?

Author

Listed:
  • E. VERHOFSTADT
  • H. DE WITTE
  • E. OMEY

Abstract

In this paper we test whether starters in a stressful job get a compensation for the burden they face. The compensating wage differentials model predicts a wage compensation for accepting a job with high workload. The Karasek model (1979) highlights the importance of a balance between demands and control in the job. The combination of both models leads to the hypothesis that the wage compensation for high workload will be lower in a job with high autonomy. The selectivity corrected estimations do not confirm this hypothesis. So, entrants on the labour market who start in a stressful job are in a problematic position as they are not compensated for this burden.

Suggested Citation

  • E. Verhofstadt & H. De Witte & E. Omey, 2007. "Are young workers compensated for a high strain job?," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 07/436, Ghent University, Faculty of Economics and Business Administration.
    • Handle: RePEc:rug:rugwps:07/436
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    File URL: http://wps-feb.ugent.be/Papers/wp_07_436.pdf
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    References listed on IDEAS

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    1. H. De Witte & E. Verhofstadt & E. Omey, 2005. "Testing Karasek’s learning- and strain hypothesis on young workers in their first job," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 05/326, Ghent University, Faculty of Economics and Business Administration.
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    Cited by:

    1. Rees, Daniel I. & Sabia, Joseph J., 2012. "Migraine Headache and Labor Market Outcomes," IZA Discussion Papers 7034, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    job-demand-control model of Karasek; wage compensation; stress;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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