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Insider Privatization and Careers - A Study of a Russian Firm in Transition

  • Guido Friebel
  • Elena Panova

We study how transition has affected human resource policies of a Russian heavy industry firm. Our data set contains personnel files of 1538 white-collar workers over 17 years: from 1984 to 2000. We find career paths before the first year of Gaidar's reforms, 1992, when Russian transition to a market economy began. After 1992, promotions are blocked, because both (i) more managers are hired from the outside, and (ii) fewer managers leave the firm. A possible reason is an extremely weak outsider property rights enforcement in Russia. Keywords: institutional environment and internal labor market, transition to a market economy.

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File URL: http://www.nber.org/papers/w12998.pdf
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 12998.

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Date of creation: Mar 2007
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Publication status: published as Guido Friebel & Elena Panova & Kathryn Shaw, 2008. "Insider Privatization and Careers: A Study of a Russian Firm in Transition," NBER Chapters, in: The Analysis of Firms and Employees: Quantitative and Qualitative Approaches, pages 253-266 National Bureau of Economic Research, Inc.
Handle: RePEc:nbr:nberwo:12998
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  1. Simeon Djankov & Peter Murrell, 2002. "Enterprise Restructuring in Transition: A Quantitative Survey," Journal of Economic Literature, American Economic Association, vol. 40(3), pages 739-792, September.
  2. Dohmen, Thomas J., 2004. "Performance, seniority, and wages: formal salary systems and individual earnings profiles," Labour Economics, Elsevier, vol. 11(6), pages 741-763, December.
  3. Ariga, Kenn & Ohkusa, Yasushi & Brunello, Giorgio, 1999. "Fast track: is it in the genes? The promotion policy of a large Japanese firm," Journal of Economic Behavior & Organization, Elsevier, vol. 38(4), pages 385-402, April.
  4. Van den Berg, Gerard J., 2000. "Duration Models: Specification, Identification, and Multiple Durations," MPRA Paper 9446, University Library of Munich, Germany.
  5. Kornai, Janos, 1992. "The Socialist System: The Political Economy of Communism," OUP Catalogue, Oxford University Press, number 9780198287766, December.
  6. George Baker & Michael Gibbs & Bengt Holmstrom, 1994. "The Internal Economics of the Firm: Evidence from Personnel Data," The Quarterly Journal of Economics, Oxford University Press, vol. 109(4), pages 881-919.
  7. Grosfeld, I. & Roland, G., 1995. "Defensive and Strategic Restructuring in Central European Enterprises," DELTA Working Papers 95-18, DELTA (Ecole normale supérieure).
  8. Thomas J. Dohmen & Ben Kriechel & Gerard A. Pfann, 2004. "Monkey bars and ladders: The importance of lateral and vertical job mobility in internal labor market careers," Journal of Population Economics, Springer;European Society for Population Economics, vol. 17(2), pages 193-228, 06.
  9. Treble, John & van Gameren, Edwin & Bridges, Sarah & Barmby, Tim, 2001. "The internal economics of the firm: further evidence from personnel data," Labour Economics, Elsevier, vol. 8(5), pages 531-552, December.
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