Firm Size and Wages in Germany: Trends and Impacts of Mobility

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Authors

  • Knut Gerlach
  • Olaf Hübler

Research Organisations

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Details

Original languageEnglish
Pages (from-to)245-261
Number of pages17
JournalEMPIRICA
Volume25
Issue number3
Publication statusPublished - Jan 1998

Abstract

The analysis of firm-size wage differentials in Germany, using data from the German Socio-Economic Panel, firstly corroborates the finding that wages rise with firm-size and shows that the rank order of mean wages between firm-size classes is stable for the period 1984-1993. Secondly, the most important novel results are as follows: (i) wage differentials between firm-size classes increased during the period investigated after controlling for individual attributes and computing with deflated values; (ii) average levels of the qualification of employees have diverged noticeably between small and large firms; (iii) movers from small to larger firms have to accept wages below the average pay of incumbents with comparable attributes in the new firms: (iv) movers to smaller firms, however, retain a portion of their higher wages in larger firms; and (v) wage differentials between smaller and larger firms decline with increasing unemployment.

Keywords

    Firm-size wage differentials, Qualification and mobility of employees

ASJC Scopus subject areas

Sustainable Development Goals

Cite this

Firm Size and Wages in Germany: Trends and Impacts of Mobility. / Gerlach, Knut; Hübler, Olaf.
In: EMPIRICA, Vol. 25, No. 3, 01.1998, p. 245-261.

Research output: Contribution to journalArticleResearchpeer review

Gerlach K, Hübler O. Firm Size and Wages in Germany: Trends and Impacts of Mobility. EMPIRICA. 1998 Jan;25(3):245-261. doi: 10.1023/A:1006904430572
Gerlach, Knut ; Hübler, Olaf. / Firm Size and Wages in Germany : Trends and Impacts of Mobility. In: EMPIRICA. 1998 ; Vol. 25, No. 3. pp. 245-261.
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