Labor market tightness and individual wage growth: evidence from Germany

Stephan Brunow, Stefanie Lösch and Ostap Okhrin
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Stefanie Lösch: TU Dresden
Ostap Okhrin: TU Dresden

Journal for Labour Market Research, 2022, vol. 56, Article 16

Abstract: "It is often stated that certain occupations in Germany, because of “Demographic Change “, are dwindling, implying a labor shortage. We investigate the 10-year wage growth of young employees entering the labor market in different occupations. Our findings suggest that regional labor market tightness in occupational fields significantly explains wage growth. Individuals who start their careers in a tighter labor market enjoy higher wage growth than workers in more relaxed labor markets. We identify some occupational fields where the effect is especially strong, such as several engineering groups, IT occupations, technicians, and some commercial occupations. Interestingly, health-care occupations reveal a reverse relation." (Author's abstract, IAB-Doku, © Springer-Verlag) ((en))

Keywords: Bundesrepublik Deutschland; Ausbildungsabsolventen; Auswirkungen; Berufsanfänger; Berufsfelder; Berufsgruppe; MINT-Berufe; Berufsverlauf; demografischer Wandel; Einkommenseffekte; Integrierte Erwerbsbiografien; Integrierte Erwerbsbiografien; Lohnentwicklung; Mangelberufe; regionaler Arbeitsmarkt; Arbeitskräftemangel; 1995-2014 (search for similar items in EconPapers)
JEL-codes: J31 J44 R23 (search for similar items in EconPapers)
Date: 2022-10-11
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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DOI: 10.1186/s12651-022-00322-7

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