Wage premium for soft skills in IT sector

Andrei Ternikov

International Journal of Development Issues, 2022, vol. 21, issue 2, 237-248

Abstract: Purpose - This study aims to investigate the relationship between the demand on “soft” skills and suggested salaries for IT specializations in Russia. Design/methodology/approach - Based on the database of vacancies, econometric modeling and cluster analysis of job occupations are implemented. Findings - The results show positive association between demand for “soft” skills and wage if the model is controlled for the working experience and narrow professional occupations. Findings provide evidence that there is significant wage premium for “soft” skills in cases when job positions either imply no experience or require specialists with at least three years of tenure. Originality/value - This research provides new evidence on the relationship between “soft” skills and wage using job postings data from Russia. This paper identifies the presence of wage premium for “soft” skills among IT specialists if controlling for sub-specializations, year, region and working experience. The robustness checks indicate no significant changes in the obtained results.

Keywords: Skill identification; Wage premium; Cognitive skills; Job advertisements; Vacancy clustering (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:eme:ijdipp:ijdi-12-2021-0257

DOI: 10.1108/IJDI-12-2021-0257

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