Premium for remote employment in the Russian labor market

During the COVID-19 pandemic, remote employment demonstrated explosive growth in almost all countries, including Russia. Despite a precipitous decline in its utilization in the post-pandemic period, it persists as a significant emerging form of non-standard employment. The present study is the first to provide quantitative estimates of the wage premium for remote work within the context of the Russian labour market. The different mechаnisms that can impact the earnings of remote workers both positively and negatively are considered in detail. The empirical basis of the analysis is the RLMS HSE microdata for 2020—2023. The findings of the study are consistent with the majority of other research conducted in various countries, which indicates that remote workers are paid more than non—remote ones. As econometric analysis indicates, the premium for distance work can reach 25—35%. It is approximately 1,5 times higher for men than for women. The use of advanced analytical methods (Oster procedure, natural experiment methodology) confirms the existence of a wage effect generated by remote employment.