The Adoption and Termination of Profit Sharing for Employees: Does Management's Attitude Play a Role?

Uwe Jirjahn

No 2016-01, Research Papers in Economics from University of Trier, Department of Economics

Abstract: Examinations on the determinants of profit sharing usually focus on objective firm characteristics. Using data from manufacturing firms in Germany, this study shows that managers’ subjective attitudes towards profit sharing also play an important role in the adoption and termination of this payment scheme. Positive management attitudes are associated with an increased likelihood of adopting profit sharing. While to some extent this entails failed experimentation, positive managerial attitudes also substantially contribute to a sustained use of profit sharing. The pattern of results holds even when controlling for a variety of objective firm characteristics.

Keywords: Profit sharing; management attitude; management discretion; subjective factors; experimentation (search for similar items in EconPapers)
JEL-codes: J33 M52 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2016
New Economics Papers: this item is included in nep-bec, nep-eur, nep-hrm, nep-law, nep-mkt and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.uni-trier.de/fileadmin/fb4/prof/VWL/EWF/Research_Papers/2016-01.pdf First version, 2016 (application/pdf)

Related works:
Journal Article: The adoption and termination of profit sharing for employees: does management’s attitude play a role? (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:trr:wpaper:201601

Access Statistics for this paper

More papers in Research Papers in Economics from University of Trier, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Matthias Neuenkirch ().