The Establishment-Size Wage Premium: Evidence from European Countries

Thierry Lallemand, Robert Plasman and Francois Rycx

No 1569, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This study examines the magnitude and determinants of the establishment-size wage premium in five European countries using a unique harmonised matched employer-employee data set. Findings show the existence of a significant positive wage premium in all countries, even when controlling for labour quality, working conditions, monitoring, sectoral and regional effects, bargaining institutions, job stability, and concentration of skilled workers. In cross-national perspective, results support the existence of an inverse relationship between the size wage gap and the degree of corporatism. Final results indicate that the size wage premium is generally larger in the manufacturing sector and for blue-collar workers.

Keywords: matched employer-employee data; establishment-size and wages; Europe (search for similar items in EconPapers)
JEL-codes: J31 (search for similar items in EconPapers)
Pages: 32 pages
Date: 2005-04
New Economics Papers: this item is included in nep-eec and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (48)

Published - published in: Empirica, 2007, 34 (5), 427-451

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Related works:
Journal Article: The establishment-size wage premium: evidence from European countries (2007)
Working Paper: The establishment-size wage premium: evidence from European countries (2007)
Working Paper: The establishment-size wage premium: evidence from European countries (2005)
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