Shared modes of compensation and firm performance: UK evidence
This paper examines the use and consequences of shared compensation plans (profit sharing, profit related pay, SAYE schemes and company stock option plans) in a sample of UK workplaces and firms in the 1990s. The use of these plans has increased over time, in part in response to government programs. The evidence shows that companies and workplaces adopting shared compensation practices have had higher productivity than other firms, but the effects vary among programs, suggesting that the particulars matter a lot in aligning shared compensation and work place activities. Consistent with incentive theory, the evidence also shows that firms and workplaces with shared compensation practices have a higher incidence of shared decision-making/information sharing practices.
|Date of creation:||Oct 2002|
|Date of revision:|
|Contact details of provider:|| Postal: LSE Library Portugal Street London, WC2A 2HD, U.K.|
Phone: +44 (020) 7405 7686
Web page: http://www.lse.ac.uk/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kandel, Eugene & Lazear, Edward P, 1992.
"Peer Pressure and Partnerships,"
Journal of Political Economy,
University of Chicago Press, vol. 100(4), pages 801-17, August.
- Gregg, P. A & Machin, S. j, 1987.
"Unions and the Incidence of Performance Linked Pay Schemes in Britain,"
The Warwick Economics Research Paper Series (TWERPS)
286, University of Warwick, Department of Economics.
- Gregg, P. A. & Machin, S. J., 1988. "Unions and the incidence of performance linked pay schemes in Britain," International Journal of Industrial Organization, Elsevier, vol. 6(1), pages 91-107, March.
- Cable, John & Wilson, Nicholas, 1989. "Profit-Sharing and Productivity: An Analysis of UK Engineering Firms," Economic Journal, Royal Economic Society, vol. 99(396), pages 366-75, June.
- Edward P. Lazear & Paul Oyer, 2007.
NBER Working Papers
13480, National Bureau of Economic Research, Inc.
- Edward P. Lazear & Paul Oyer, 2012. "Personnel Economics," Introductory Chapters, in: Robert Gibbons & John Roberts (ed.), The Handbook of Organizational Economics Princeton University Press.
- Edward P. Lazear, 1995. "Personnel Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262121883, March.
- Richard B. Freeman & Edward P. Lazear, 1994.
"An Economic Analysis of Works Councils,"
NBER Working Papers
4918, National Bureau of Economic Research, Inc.
- -, 1995. "Evolución de la economía brasileña," Informe Estadístico – Oficina de la CEPAL en Brasilia 28113, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- -, 1995. "International economic highlights 1994," Oficina de la CEPAL en Washington (Estudios e Investigaciones) 28948, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- Nickell, Stephen & Redding, Stephen J. & Swaffield, Joanna K, 2001.
"Educational Attainment, Labour Market Institutions and the Structure of Production,"
CEPR Discussion Papers
3068, C.E.P.R. Discussion Papers.
- Stephen J Nickell & Stephen Redding & Joanna Swaffield, 2002. "Educational attainment, labour market institutions, and the structure of production," LSE Research Online Documents on Economics 3706, London School of Economics and Political Science, LSE Library.
- Stephen Nickell & Stephen Redding & Joanna Swaffield, 2002. "Educational Attainment, Labour Market Institutions, and the Structure of Production," CEP Discussion Papers dp0545, Centre for Economic Performance, LSE.
- Chris Doucouliagos, 1995. "Worker Participation and Productivity in Labor-Managed and Participatory Capitalist Firms: A Meta-Analysis," ILR Review, Cornell University, ILR School, vol. 49(1), pages 58-77, October.
- Anonymous, 1995. "March 1995 economic forecasts," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 58, March.
- Wadhwani, S. & Wall, M., 1988.
"The Effects Of Profit-Sharing On Employment, Wages, Stock Returns And Productivity: Evidence From Uk Micro-Data,"
311, London School of Economics - Centre for Labour Economics.
- Wadhwani, Sushil & Wall, Martin, 1990. "The Effects of Profit-Sharing on Employment, Wages, Stock Returns and Productivity: Evidence from UK Micro-data," Economic Journal, Royal Economic Society, vol. 100(399), pages 1-17, March.
- anonymous, 1995. "Does the bouncing ball lead to economic growth?," Regional Update, Federal Reserve Bank of Atlanta, issue Jul, pages 1-2, 4-6.
- Douglas L. Kruse, 1993. "Profit Sharing: Does It Make a Difference?," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number ps, November.
- -, 1995. "Summary of Caribbean Economic Performance," Sede Subregional de la CEPAL para el Caribe (Estudios e Investigaciones) 38909, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- -, 1995. "Economic survey of Puerto Rico, 1994," Oficina de la CEPAL en Washington (Estudios e Investigaciones) 28953, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- anonymous, 1995. "Economist examines financial derivatives risk," Financial Update, Federal Reserve Bank of Atlanta, issue Jan, pages 4.
- anonymous, 1995. "Georgia economy strong even without Olympics," Regional Update, Federal Reserve Bank of Atlanta, issue Oct, pages 11-13.
- Joseph Blasi & Michael Conte & Douglas Kruse, 1996. "Employee Stock Ownership and Corporate Performance among Public Companies," ILR Review, Cornell University, ILR School, vol. 50(1), pages 60-79, October.
- Anonymous, 1995. "Contents of Agricultural Economics, Vol. 12," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 12(3), September.
When requesting a correction, please mention this item's handle: RePEc:ehl:lserod:20060. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (LSERO Manager)
If references are entirely missing, you can add them using this form.