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Do Temporary Workers Suffer a Wage Penalty? Investigating the Italian Case Using a Panel Data Approach

Matteo Picchio

No 268, Working Papers from Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali

Abstract: The focus of this paper is to analyse the wage effects of temporary jobs using the 2000 and 2002 waves of the Survey of Italian Households' Income and Wealth (SHIW). Exploiting the short longitudinal dimension of the survey and taking into account of individual- and job-specific unobservable components results in an estimated wage penalty for temporary workers of about 12-13%. Furthermore, there is evidence of higher wage returns to seniority for temporary workers, generating a reduction in the wage gap by about 2.3 percentage points after one year of tenure.

Keywords: individual effects; job effetcs; returns to seniority; temporary employment; wage differentials (search for similar items in EconPapers)
JEL-codes: C23 J31 M51 (search for similar items in EconPapers)
Pages: 51
Date: 2006-10
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (6)

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