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The centrifugal nature of the labour market and justice

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  • Peter Dietsch

Abstract

This paper brings together insights from the literature on wage determination to explore the idea that the labour market contains a dynamic resulting in growing wage differentials between workers with different levels of qualifications. Call this dynamic the centrifugal nature of the labour market. It allows highly qualified workers to obtain cumulative wage premia over time. Few existing accounts of wage determination contain the conceptual resources to make sense of this phenomenon, and even these exceptions do not make it explicit. The paper then goes on to show that from the perspective of several prominent theories of distributive justice, wage differentials due to the centrifugal nature of the labour market will be considered unjust.

Suggested Citation

  • Peter Dietsch, 2025. "The centrifugal nature of the labour market and justice," Review of Social Economy, Taylor & Francis Journals, vol. 83(4), pages 399-423, October.
    • Handle: RePEc:taf:rsocec:v:83:y:2025:i:4:p:399-423
    DOI: 10.1080/00346764.2025.2505840
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