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Worker flows, job flows and establishment wage differentials : analyzing the case of France

Author

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  • Richard Duhautois

    (CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, ERUDITE - Equipe de Recherche sur l’Utilisation des Données Individuelles en lien avec la Théorie Economique - UPEM - Université Paris-Est Marne-la-Vallée - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12)

  • Fabrice Gilles

    (CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, EQUIPPE - Economie Quantitative, Intégration, Politiques Publiques et Econométrie - Université de Lille, Sciences et Technologies - Université de Lille, Sciences Humaines et Sociales - PRES Université Lille Nord de France - Université de Lille, Droit et Santé)

  • Héloïse Petit

    (CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

We address the relation between establishment wage differentials and worker flows, i.e. the churning rate and the quit rate. Our analysis is based on a linked employer-employee dataset covering the French private non-farm sector from 2002 to 2005. Our estimations support the hypothesis that wage premium is an efficient human resource management tool to stabilize workers : churning rates are lower in high-paying firms due to lower quit rates. We further show that the relation is not linear, and it differs among skill groups and according to establishment size : it is strongest for low-wage levels, for low-skilled workers and in large establishments.

Suggested Citation

  • Richard Duhautois & Fabrice Gilles & Héloïse Petit, 2011. "Worker flows, job flows and establishment wage differentials : analyzing the case of France," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00593952, HAL.
    • Handle: RePEc:hal:cesptp:halshs-00593952
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00593952
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    More about this item

    Keywords

    churning rate; quite rate; linked employer-employee panel data; France.; worker flows; Establishment wage effects; Salaire; flux de main-d'oeuvre; taux de démission; taux de churning; données appariées employeurs-salariés;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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