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Employer Size Effects in Russia

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Author Info
Todd Idson

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Abstract

As early as 1911, Henry L. Moore documented that the wages of female textile workers in Italy were higher in larger establishments. In the last thirty years a large number of studies have demonstrated the presence of employer size-wage effects (at both the plant and firm level) in numerous different countries and across different time periods. This paper analyzes the labor market effects of employer size in Russia during the years 1994-98. Using the Russian Longitudinal Monitoring Survey, a four year nationally representative panel of the Russian population, I investigate the relationship between enterprise size and the characteristics of employees, wage levels and wage growth, on-the-job training, tenure and turnover. My findings indicate that employer size effects in Russia exhibit similar characteristics to those observed in the U.S. and a variety of other countries.

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Paper provided by William Davidson Institute at the University of Michigan Stephen M. Ross Business School in its series William Davidson Institute Working Papers Series with number 300.

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Date of creation: 01 Apr 2000
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Handle: RePEc:wdi:papers:2000-300

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Keywords: employer size; wages; wage growth; tenure; turnover;

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  1. Holtmann, A.G., 1991. "Employer Size And On-The-Job Training Decisions," Discussion Papers 1991_01, Columbia University, Department of Economics.
  2. Edin, Per-Anders & Zetterberg, Johnny, 1992. "Interindustry Wage Differentials: Evidence from Sweden and a Comparison with the United States," American Economic Review, American Economic Association, vol. 82(5), pages 1341-49, December. [Downloadable!] (restricted)
  3. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January. [Downloadable!] (restricted)
  4. Pearce, James E, 1990. "Tenure, Unions, and the Relationship between Employer Size and Wages," Journal of Labor Economics, University of Chicago Press, vol. 8(2), pages 251-69, April. [Downloadable!] (restricted)
  5. Winter-Ebmer, Rudolf, 1995. "Does Layoff Risk Explain the Firm-Size Wage Differential?," Applied Economics Letters, Taylor and Francis Journals, vol. 2(7), pages 211-14, July. [Downloadable!] (restricted)
  6. Hartmut Lehmann & Jonathon Wadsworth & Alessandro Acquisti, 1997. "Grime and Punishment: Employment, Wages and Wage Arrears in the Russian Federation," William Davidson Institute Working Papers Series 103, William Davidson Institute at the University of Michigan Stephen M. Ross Business School. [Downloadable!]
  7. Teal, Francis, 1996. "The Size and sources of economic rents in a developing country manufacturing labour market," Economic Journal, Royal Economic Society, vol. 106(437), pages 963-76, July. [Downloadable!] (restricted)
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  8. Gibbons, Robert & Katz, Lawrence F, 1992. "Does Unmeasured Ability Explain Inter-industry Wage Differentials?," Review of Economic Studies, Blackwell Publishing, vol. 59(3), pages 515-35, July. [Downloadable!] (restricted)
    Other versions:
  9. Krueger, Alan B & Summers, Lawrence H, 1988. "Efficiency Wages and the Inter-industry Wage Structure," Econometrica, Econometric Society, vol. 56(2), pages 259-93, March. [Downloadable!] (restricted)
  10. Schmidt, Christoph M & Zimmermann, Klaus F, 1991. "Work Characteristics, Firm Size and Wages," The Review of Economics and Statistics, MIT Press, vol. 73(4), pages 705-10, November. [Downloadable!] (restricted)
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  11. John M. Abowd & Francis Kramarz & David N. Margolis, 1994. "High Wage Workers and High Wage Firms," NBER Working Papers 4917, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  12. Main, Brian G M & Reilly, Barry, 1993. "The Employer Size-Wage Gap: Evidence for Britain," Economica, London School of Economics and Political Science, vol. 60(238), pages 125-42, May. [Downloadable!] (restricted)
  13. Oi, Walter Y. & Idson, Todd L., 1999. "Firm size and wages," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 33, pages 2165-2214 Elsevier. [Downloadable!] (restricted)
  14. Alphonse G. Holtmann & Todd L. Idson, 1995. "Information, Employer Size, Training, and Wage Growth," Eastern Economic Journal, Eastern Economic Association, vol. 21(2), pages 187-196, Spring. [Downloadable!]
  15. Charles Brown & James L. Medoff, 1989. "The Employer Size-Wage Effect," NBER Working Papers 2870, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  16. Idson, Todd L, 1989. "Establishment Size Differentials in Internal Mobility," The Review of Economics and Statistics, MIT Press, vol. 71(4), pages 721-24, November. [Downloadable!] (restricted)
  17. Svejnar, Jan, 1999. "Labor markets in the transitional Central and East European economies," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 42, pages 2809-2857 Elsevier. [Downloadable!] (restricted)
  18. Velenchik, Ann D., 1997. "Government intervention, efficiency wages, and the employer size wage effect in Zimbabwe," Journal of Development Economics, Elsevier, vol. 53(2), pages 305-338, August. [Downloadable!] (restricted)
  19. Barth, James R & Cordes, Joseph J & Haber, Sheldon E, 1987. "Employee Characteristics and Firm Size: Are There Systematic Empirical Relationships?," Applied Economics, Taylor and Francis Journals, vol. 19(4), pages 555-67, April.
  20. Barron, John M & Black, Dan A & Loewenstein, Mark A, 1987. "Employer Size: The Implications for Search, Training, Capital Investment, Starting Wages, and Wage Growth," Journal of Labor Economics, University of Chicago Press, vol. 5(1), pages 76-89, January. [Downloadable!] (restricted)
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