Tenure-based Wage Setting

Robert A. Hart () and Felix Ritchie ()
Additional contact information
Felix Ritchie: IZA

No 47, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: We provide empirical support for the contention that within-job wage growth relates purely to job-specific performance and that returns to general experience are assessed at the point of job change. Using the British New Earnings Survey panel data we identify job changes that take place both within and between firms. We follow a cohort of 6778 male workers (born between 1958 and 1962) for the period 1975 to 1994 and estimate their within-job wage changes by allowing returns to vary over jobs. Between job changes are observed for individuals changing jobs in 1994. This work leads us to question the meaningfulness of attempts to separate returns to general and firm-specific human capital.

Keywords: Tenure; experience; earnings; panel data (search for similar items in EconPapers)
JEL-codes: J3 J6 (search for similar items in EconPapers)
Date: 1999-07
View list of references View citations in EconPapers

Downloads: (external link)
ftp://repec.iza.org/RePEc/Discussionpaper/dp47.pdf (application/pdf)

Related works:
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: http://EconPapers.repec.org/RePEc:iza:izadps:dp47

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute for the Study of Labor (IZA)
Address: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Contact information at EDIRC.
Series data maintained by Mark Fallak ().