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Do firm size and firm age affect employee remuneration in Dutch SMEs?

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  • Jan de Kok

Abstract

Various studies have indicated the presence of firm size wage gaps and firm age wage gaps in the remuneration of employees. This study shows that a firm size wage gap also exists in the population of Dutch Enterprises with 1 – 100 employees, but that there is no sign of a firm age wage gap. The firm size wage gap can be partially explained by the age and educational level of the employee, as well as by the educational level of the entrepreneur. The usage of performance-related pay also varies with firm size (and not with firm age). This firm size effect can be explained fully by employee tenure (rather than age and education).

Suggested Citation

  • Jan de Kok, 2012. "Do firm size and firm age affect employee remuneration in Dutch SMEs?," Scales Research Reports H201210, EIM Business and Policy Research.
  • Handle: RePEc:eim:papers:h201210
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