IDEAS home Printed from https://ideas.repec.org/p/cep/cepdps/dp2107.html
   My bibliography  Save this paper

Public sector performance disclosure: salary and career outcomes for top managers and employees

Author

Listed:
  • Iftikhar Hussain
  • Vincenzo Scrutinio
  • Shqiponja Telhaj

Abstract

Public sector organizations around the world are held to account on the basis of objective measures of performance. This paper investigates, for the first time, the impact of subjective school inspection ratings on labor market and career outcomes for school principals, senior managers and teachers. Employing unique school inspection data and the population of teachers in secondary schools in England, we compare personnel in schools experiencing a rating change with those in schools with no change in inspection rating, in a difference-in-differences framework. A change in the overall school inspection rating has substantial impact on principals' wages and their rate of exit from public sector schooling, but the impact on teachers is much more muted. Our findings suggest that competition is a key mechanism through which changes in school inspection ratings affect school personnel labor market outcomes. Importantly, exploiting novel inspection sub-grade data on school leadership and management quality enables us to assess the impact on principals arising from this direct channel, over and above the response to overall school ratings. It reveals that the rating for this specific dimension of quality is an important channel driving principals' outcomes. These results shed new light on the impact of subjective quality assessments on the careers of public sector managers and employees.

Suggested Citation

  • Iftikhar Hussain & Vincenzo Scrutinio & Shqiponja Telhaj, 2025. "Public sector performance disclosure: salary and career outcomes for top managers and employees," CEP Discussion Papers dp2107, Centre for Economic Performance, LSE.
  • Handle: RePEc:cep:cepdps:dp2107
    as

    Download full text from publisher

    File URL: https://cep.lse.ac.uk/pubs/download/dp2107.pdf
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cep:cepdps:dp2107. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://cep.lse.ac.uk/_new/publications/discussion-papers/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.