The relationship between earnings and churn across firms and through job-to-job transitions

David Wiczer and Lawrence F Warren

CES Technical Notes Series from Center for Economic Studies, U.S. Census Bureau

Abstract: In this technical note, we document a relationship between firm-level churn and average earnings at these firms. This is consistent with workhorse job-ladder models and has implications for models with frictional labor markets and residual wage dispersion. Using the worker-level panel dimension, we describe a job-ladder mechanism in which workers transition across employers in a way that aligns with changes in firm earnings and churn. The exercise demonstrates the feasibility of tabulating changes in churn to extend the Census’ Job-to-Job Flows data.

Keywords: LEHD EHF; LEHD ICF; LEHD QWI; LEHD U2W; LEHD ECF (search for similar items in EconPapers)
Date: 2026-04
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https://www.census.gov/about/adrm/ced/apply-for-access.html?CES-TN-2026-05 First version, 2026 (application/pdf)
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