Employer wage subsidies and wages in Germany: some evidence from individual data

Gesine Stephan

No 200909, IAB-Discussion Paper from Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]

Abstract: "In Germany, targeted wage subsidies to employers are an important instrument of active labor market policy. This paper utilizes process generated data of the German Public Employment Service to compare the wages of individuals taking up a subsidized job with those of otherwise similar individuals who found an unsubsidized job. The results indicate that subsidized jobs are not associated with gains or losses regarding daily wages, which might be contributed to wage setting within the German system of industrial relations. Nonetheless, because subsequent employment rates of subsidized persons are higher on average, we find a positive relationship between cumulated wages and subsidization." (Author's abstract, IAB-Doku) ((en))

Keywords: Bundesrepublik Deutschland; Auswirkungen; Beschäftigungsdauer; Eingliederungszuschuss; Erfolgskontrolle; Lohnhöhe; Lohnkostenzuschuss; arbeitsmarktpolitische Maßnahme; 2000-2007 (search for similar items in EconPapers)
JEL-codes: J31 J38 J58 (search for similar items in EconPapers)
Pages: 34 pages
Date: 2009
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Citations: View citations in EconPapers (5)

Published in/as: Zeitschrift für ArbeitsmarktForschung, Jg. 43, H. 1 (2010), S. 53-71, doi:10.1007/s12651-010-0029-3

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Persistent link: https://EconPapers.repec.org/RePEc:iab:iabdpa:200909

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