Long-Term Effects of Unpaid Overtime

Markus Pannenberg

No 293, Discussion Papers of DIW Berlin from DIW Berlin, German Institute for Economic Research

Abstract: Why do people work unpaid overtime? We show that remarkable long-term labor earnings gains are associated with unpaid overtime in West Germany. A descriptive analysis suggests that over a 10-year period workers with unpaid overtime experience on average at least a 10 percentage points higher increase in real labor earnings than their co-workers. Applying panel data models this result generally holds. Furthermore, we find evidence for gender specific differences with respect to the effects of cumulative average unpaid overtime work. Our results point to the importance of investment in current working hours beyond the standard work week to enhance real earnings prospects.

Keywords: Overtime; Overtime Compensation; Labor Earnings; Linear Panel Data Models (search for similar items in EconPapers)
JEL-codes: J22 J23 J31 J33 (search for similar items in EconPapers)
Pages: 19 p.
Date: 2002
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (3)

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Related works:
Journal Article: LONG‐TERM EFFECTS OF UNPAID OVERTIME (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:diw:diwwpp:dp293

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