Firm productivity and ethnic wages

David Maré and Richard Fabling

No 25_08, Motu Working Papers from Motu Economic and Public Policy Research

Abstract: We estimate relative wage discrimination for ethnic and migrant groups in New Zealand, using linked employer-employee and firm-level productivity data, and comparing each group's contribution to output with their share of their firm's wage bill. We find that wage discrimination is relatively favourable for European migrants and Asian/MELAA employees, and relatively unfavourable for Māori, Pacific, and NZ-born European employees, with variation across NZ-born, recent migrants, and longer-term migrants. We present pooled and firm-fixed effects estimates of discrimination, highlighting distinct within-firm and between-firm patterns.

Keywords: Earnings; productivity; Māori; ethnicity (search for similar items in EconPapers)
JEL-codes: J15 J30 J42 J71 (search for similar items in EconPapers)
Pages: 41 pages
Date: 2025-09
New Economics Papers: this item is included in nep-eff, nep-lma and nep-ure
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https://motu-www.motu.org.nz/wpapers/25_08.pdf

Related works:
Working Paper: Firm Productivity and Ethnic Wages (2025)
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Persistent link: https://EconPapers.repec.org/RePEc:mtu:wpaper:25_08

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