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Directed search, wages, and non-wage amenities evidence from an online job board

Author

Listed:
  • Escudero, Verónica,
  • Liepmann, Hannah,
  • Vergara, Damián,

Abstract

We leverage rich data from a prominent online job board in Uruguay to assess directed search patterns in job applications, focusing on posted wages and advertised non-wage amenities. We find robust evidence of directed search based on posted wages in the cross-section, with stark heterogeneity by occupation: the wage-application correlation is driven by vacancies attached to lower-skill occupations, with applications to vacancies attached to higher-skill occupations showing no responsiveness to posted wages. By applying text analysis to the job ads, we elicit advertised non-wage amenities and find evidence of directed search based on non-wage amenities. Applications to vacancies attached to lower-skill occupations are consistent with lexicographic application preferences: amenities predict applications to these vacancies only when wages are not posted. Finally, we exploit industry-by-occupation minimum wage variation to demonstrate that the observed occupational heterogeneity in directed search patterns is supported by quasi-experimental difference-in- differences estimates of the impact of wages on job applications.

Suggested Citation

  • Escudero, Verónica, & Liepmann, Hannah, & Vergara, Damián,, 2025. "Directed search, wages, and non-wage amenities evidence from an online job board," ILO Working Papers 995614887502676, International Labour Organization.
    • Handle: RePEc:ilo:ilowps:995614887502676
    DOI: 10.54394/YWML9238
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