Unpaid overtime in Germany: differences between East and West

Silke Anger

No 2003,42, SFB 373 Discussion Papers from Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes

Abstract: Although the standard work week is longer in East than in West Germany, there is a higher incidence and average amount of unpaid overtime worked in the new states. We try to explain the striking differences in unpaid overtime by analyzing the labor supply side. We focus on the investment character of overtime and examine whether workers use unpaid extra hours to signal higher productivity so as to reduce the risk of losing their job. Using panel data from the GSOEP we find partial evidence for our unemployment-overtime hypothesis.

Keywords: unpaid overtime; labor supply; signaling; unemployment; panel data (search for similar items in EconPapers)
JEL-codes: C23 D80 J22 (search for similar items in EconPapers)
Date: 2003
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Related works:
Journal Article: Unpaid Overtime in Germany: Differences between East and West (2005)
Journal Article: Unpaid Overtime in Germany: Differences between East and West (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:sfb373:200342

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