Sylvain Chareyron, Yannick L'Horty, Louise Mbaye, Pascale Petit
We measure discrimination in access to employment toward people with visual impairment in France and explore its relationship with two public policies designed to facilitate the integration of disabled people into the workforce: the obligation on the employer to adapt the workstation, and a quota policy intended to incentivize the hiring of people with disabilities. We use the correspondence test method in combination with a difference-in-differences strategy, to explore the effects of these different policies. We show that applicants with visual impairments face significant discrimination, and we suggest that the level of discrimination is influenced by both policies.
{"title":"Discrimination toward the visually impaired and quota policies in the labor market","authors":"Sylvain Chareyron, Yannick L'Horty, Louise Mbaye, Pascale Petit","doi":"10.1111/labr.12282","DOIUrl":"https://doi.org/10.1111/labr.12282","url":null,"abstract":"<p>We measure discrimination in access to employment toward people with visual impairment in France and explore its relationship with two public policies designed to facilitate the integration of disabled people into the workforce: the obligation on the employer to adapt the workstation, and a quota policy intended to incentivize the hiring of people with disabilities. We use the correspondence test method in combination with a difference-in-differences strategy, to explore the effects of these different policies. We show that applicants with visual impairments face significant discrimination, and we suggest that the level of discrimination is influenced by both policies.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-09-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/labr.12282","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142588226","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The increase in poverty rates among families and individuals in Italy over the past two decades can be attributed largely to repeated periods of economic crisis. Growing concern over the problem has driven interest in the role of policy in supporting household welfare. Responding to the currently limited access to (or provision of) public aid and assistance, private institutions and philanthropic foundations have stepped up their efforts to create new initiatives for alleviating poverty. In this paper, we use a randomized control trial (RCT) to evaluate the impact of a new Italian program aimed at supporting vulnerable individuals in four separate but related areas of household welfare: employment, financial circumstances, family responsibilities and housing conditions. The program, known as Integro, was introduced by the Compagnia di San Paolo, one of Italy's largest philanthropic institutions. Our findings indicate a positive and statistically significant impact of Integro on three of the four target outcomes considered, with only the fourth (housing conditions) not being affected. We also sought to identify any initial conditions potentially influencing the extent to which participants benefit from the program. Is Integro equally effective for everyone? According to our data, the program provides the best outcomes for males reporting lower human capital and greater socio-emotional stability.
{"title":"The impact of a multifaceted program on fragile individuals. Evidence from an RCT in Italy","authors":"Daniela Del Boca, Chiara Pronzato","doi":"10.1111/labr.12281","DOIUrl":"https://doi.org/10.1111/labr.12281","url":null,"abstract":"<p>The increase in poverty rates among families and individuals in Italy over the past two decades can be attributed largely to repeated periods of economic crisis. Growing concern over the problem has driven interest in the role of policy in supporting household welfare. Responding to the currently limited access to (or provision of) public aid and assistance, private institutions and philanthropic foundations have stepped up their efforts to create new initiatives for alleviating poverty. In this paper, we use a randomized control trial (RCT) to evaluate the impact of a new Italian program aimed at supporting vulnerable individuals in four separate but related areas of household welfare: employment, financial circumstances, family responsibilities and housing conditions. The program, known as Integro, was introduced by the <i>Compagnia di San Paolo</i>, one of Italy's largest philanthropic institutions. Our findings indicate a positive and statistically significant impact of Integro on three of the four target outcomes considered, with only the fourth (housing conditions) not being affected. We also sought to identify any initial conditions potentially influencing the extent to which participants benefit from the program. Is Integro equally effective for everyone? According to our data, the program provides the best outcomes for males reporting lower human capital and greater socio-emotional stability.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-09-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142588165","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
In this paper, we study the effect of search and matching frictions, i.e., equilibrium unemployment, on fiscal financing decisions in the United States. We build a Real Business Cycle model with labour market frictions and a rich set of fiscal tools and estimate the model using Bayesian methods on US data for various fiscal rule specifications. Most importantly, we find that the model with unemployment, output and debt in the fiscal rules fits the data best. Under the fiscal rule that best fits the data, the reaction of fiscal instruments to output and debt are significantly quantitatively different than a rule that ignores unemployment. Fiscal instruments react stronger to cyclical factors except transfers. These changes also affect model dynamics in response to fundamental non-fiscal shocks.
{"title":"Fiscal financing with labour markets frictions","authors":"Dennis Wesselbaum","doi":"10.1111/labr.12280","DOIUrl":"10.1111/labr.12280","url":null,"abstract":"<p>In this paper, we study the effect of search and matching frictions, i.e., equilibrium unemployment, on fiscal financing decisions in the United States. We build a Real Business Cycle model with labour market frictions and a rich set of fiscal tools and estimate the model using Bayesian methods on US data for various fiscal rule specifications. Most importantly, we find that the model with unemployment, output and debt in the fiscal rules fits the data best. Under the fiscal rule that best fits the data, the reaction of fiscal instruments to output and debt are significantly quantitatively different than a rule that ignores unemployment. Fiscal instruments react stronger to cyclical factors except transfers. These changes also affect model dynamics in response to fundamental non-fiscal shocks.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-07-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/labr.12280","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141803048","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We investigate the wage assimilation of East Germans who migrated to West Germany after reunification (1990–99). We compare their wage assimilation to that of ethnic German immigrants from Eastern Bloc countries and international immigrants to West Germany who arrived at the same time. The analysis uses administrative as well as survey data. The results suggest that East Germans faced significant initial earnings disadvantages in West Germany, even conditional on age and education. However, these disadvantages were smaller than those of international immigrants, supporting the beneficial role of cultural similarity. The earnings gap relative to West German natives narrowed over time for all immigrants. These findings are robust to controlling for potentially endogenous return migration and labor force participation. Controls for fixed effects reveal that positive assimilation for East German and international immigrants was concentrated among highly educated immigrants.
{"title":"Earnings assimilation of post-reunification East German migrants in West Germany","authors":"Regina T. Riphahn, Irakli Sauer","doi":"10.1111/labr.12279","DOIUrl":"10.1111/labr.12279","url":null,"abstract":"<p>We investigate the wage assimilation of East Germans who migrated to West Germany after reunification (1990–99). We compare their wage assimilation to that of ethnic German immigrants from Eastern Bloc countries and international immigrants to West Germany who arrived at the same time. The analysis uses administrative as well as survey data. The results suggest that East Germans faced significant initial earnings disadvantages in West Germany, even conditional on age and education. However, these disadvantages were smaller than those of international immigrants, supporting the beneficial role of cultural similarity. The earnings gap relative to West German natives narrowed over time for all immigrants. These findings are robust to controlling for potentially endogenous return migration and labor force participation. Controls for fixed effects reveal that positive assimilation for East German and international immigrants was concentrated among highly educated immigrants.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-06-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/labr.12279","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141360630","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
To obtain a more complete understanding of the persisting gender earnings gap in Germany, this paper investigates both the cross-sectional and lifetime dimension of gender inequalities. Based on a dynamic microsimulation model, we analyse how gender differences accumulate over work lives to examine the lifetime dimension of the gender gap. We estimate an average gender gap in lifetime earnings of 51.5 per cent for birth cohorts 1964–72. We show that this unadjusted gender lifetime earnings gap increases strongly with the number of children, ranging from 17.3 per cent for childless women to 68.0 per cent for women with three or more children. Results from a counterfactual analysis approach show an adjusted gender gap in lifetime earnings of around 10 per cent, suggesting that the gender gap in lifetime earnings is rather driven by gender differences in observable characteristics than by differences in rewards.
{"title":"The gender gap in lifetime earnings: A microsimulation approach","authors":"Rick Glaubitz, Astrid Harnack-Eber, Miriam Wetter","doi":"10.1111/labr.12274","DOIUrl":"10.1111/labr.12274","url":null,"abstract":"<p>To obtain a more complete understanding of the persisting gender earnings gap in Germany, this paper investigates both the cross-sectional and lifetime dimension of gender inequalities. Based on a dynamic microsimulation model, we analyse how gender differences accumulate over work lives to examine the lifetime dimension of the gender gap. We estimate an average gender gap in lifetime earnings of 51.5 per cent for birth cohorts 1964–72. We show that this unadjusted gender lifetime earnings gap increases strongly with the number of children, ranging from 17.3 per cent for childless women to 68.0 per cent for women with three or more children. Results from a counterfactual analysis approach show an adjusted gender gap in lifetime earnings of around 10 per cent, suggesting that the gender gap in lifetime earnings is rather driven by gender differences in observable characteristics than by differences in rewards.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-06-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/labr.12274","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141272134","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This work examines the influence of locus of control on sorting into performance pay jobs. It uniquely examines different types of performance pay schemes, demonstrating sharp differences between them. Bivariate probit estimates indicate workers with an internal locus of control sort into individual schemes but not joint schemes. Wage equations reveal that adding locus of control modestly reduces the return to individual performance pay but that in more complete specifications, the return to an internal locus of control becomes vanishingly small, which suggests that its primary importance is in sorting (not only into performance pay but into education and occupation).
{"title":"Locus of control and performance pay: Evidence from US survey data","authors":"Benjamin C. Adams","doi":"10.1111/labr.12273","DOIUrl":"10.1111/labr.12273","url":null,"abstract":"<p>This work examines the influence of locus of control on sorting into performance pay jobs. It uniquely examines different types of performance pay schemes, demonstrating sharp differences between them. Bivariate probit estimates indicate workers with an internal locus of control sort into individual schemes but not joint schemes. Wage equations reveal that adding locus of control modestly reduces the return to individual performance pay but that in more complete specifications, the return to an internal locus of control becomes vanishingly small, which suggests that its primary importance is in sorting (not only into performance pay but into education and occupation).</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-05-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140999195","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Phuong Huu Khiem, Do Bao Linh, Tran Viet Khanh, Do Anh Tai
The aging population has been rising rapidly in every country, slowing the labour force and causing lower per capita growth. Many policies incentivize working in old age as it can alleviate the challenges of the aging population. This study examines the impacts of the extended maternity leave reform in Vietnam on elderly labour market outcomes. As grandparents' childcare responsibility may be reduced by maternal childcare following the extended maternal leave, especially for elderly living with children smaller than 1 year old, the reform gives older adults or grandparents more flexibility to join the labour market. Using the difference-in-differences model, we find that older people in the treatment group are more likely to return to the labour market following the reform implementation. The effect is positive and most robust for the self-employment group rather than waged employment and for males rather than females. Our study suggests that there is a need for a policy design to shift public finance into the healthcare and pension system.
{"title":"Does maternity leave reform impact on the labour supply of the elderly? Evidence from a natural experiment in Vietnam","authors":"Phuong Huu Khiem, Do Bao Linh, Tran Viet Khanh, Do Anh Tai","doi":"10.1111/labr.12272","DOIUrl":"10.1111/labr.12272","url":null,"abstract":"<p>The aging population has been rising rapidly in every country, slowing the labour force and causing lower per capita growth. Many policies incentivize working in old age as it can alleviate the challenges of the aging population. This study examines the impacts of the extended maternity leave reform in Vietnam on elderly labour market outcomes. As grandparents' childcare responsibility may be reduced by maternal childcare following the extended maternal leave, especially for elderly living with children smaller than 1 year old, the reform gives older adults or grandparents more flexibility to join the labour market. Using the difference-in-differences model, we find that older people in the treatment group are more likely to return to the labour market following the reform implementation. The effect is positive and most robust for the self-employment group rather than waged employment and for males rather than females. Our study suggests that there is a need for a policy design to shift public finance into the healthcare and pension system.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141041192","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
I investigate the role of hierarchy in explaining wage differential between Canadian large and small firms. I use the confidential-use files of the Labour Force Survey (LFS) from 2016 to 2022 and exploit the mini-panels form to control for time-invariant unobserved heterogeneity. The results show that the Canadian employer size wage effects for managers are approximately twice those for non-managers which is consistent with the results of prior studies for other countries. Managers who move from a small to a large firm have earnings increase of 20%, twice the estimated size-wage differential of non-managers (11%). The results also demonstrate that low-skill workers moving from a small to a large firm have earnings increase of 5.3% which is significantly lower than high-skill workers (14.1%). Those results support the role of the hierarchy in explaining an important part of the size-wage effect for Canadian workers.
{"title":"Firm-size wage-gaps and hierarchy: Evidence from Canada","authors":"Ibrahim Bousmah","doi":"10.1111/labr.12269","DOIUrl":"10.1111/labr.12269","url":null,"abstract":"<p>I investigate the role of hierarchy in explaining wage differential between Canadian large and small firms. I use the confidential-use files of the Labour Force Survey (LFS) from 2016 to 2022 and exploit the mini-panels form to control for time-invariant unobserved heterogeneity. The results show that the Canadian employer size wage effects for managers are approximately twice those for non-managers which is consistent with the results of prior studies for other countries. Managers who move from a small to a large firm have earnings increase of 20%, twice the estimated size-wage differential of non-managers (11%). The results also demonstrate that low-skill workers moving from a small to a large firm have earnings increase of 5.3% which is significantly lower than high-skill workers (14.1%). Those results support the role of the hierarchy in explaining an important part of the size-wage effect for Canadian workers.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-04-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140724942","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We estimate labor market monopsony power among manufacturing firms in four Sub-Saharan African countries using a parametric production function approach on panel dataset. Pooled estimate suggests that wages are approximately 38 percent of the marginal revenue product of labor, implying a labor supply elasticity of 0.62. Nonparametric robustness checks indicate these results are robust to concerns over parametric model misspecification. Departure from competitive labor market leads to approximately 50.80 percent higher employer rent, 75.61 percent lower employee rent, and 15.95 percent deadweight loss. Overall, our results are suggestive of monopsonistic labor markets.
{"title":"Labor market monopsony power in the manufacturing sector of four Sub-Saharan African countries","authors":"Samiul Haque, Micheal S. Delgado","doi":"10.1111/labr.12271","DOIUrl":"10.1111/labr.12271","url":null,"abstract":"<p>We estimate labor market monopsony power among manufacturing firms in four Sub-Saharan African countries using a parametric production function approach on panel dataset. Pooled estimate suggests that wages are approximately 38 percent of the marginal revenue product of labor, implying a labor supply elasticity of 0.62. Nonparametric robustness checks indicate these results are robust to concerns over parametric model misspecification. Departure from competitive labor market leads to approximately 50.80 percent higher employer rent, 75.61 percent lower employee rent, and 15.95 percent deadweight loss. Overall, our results are suggestive of monopsonistic labor markets.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-03-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140386537","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
In this paper, we estimate and decompose the public–private wage differentials for urban areas, using the 2012 Tunisia urban youth survey. Oaxaca decomposition results suggest that, on average, public sector workers earn more than their private counterparts. Additionally, the results indicate that a substantial part of the conditional gap in urban areas can be attributed to observed characteristics. Human capital, particularly education, are the main reason behind the observed log-wage advantages. Using unconditional quantile decomposition, our findings reveal that, for urban areas, the discrimination effect becomes more pronounced at the upper quantiles of the wage distribution. Separate analyses by gender and educational levels show that male workers across both sectors receive higher compensation than their female counterparts, with a more pronounced gender gap in private sector. Less educated workers are compensated much more in the public sector than in the private sector, while the wage differential for skilled workers decreases rapidly through the distribution.
{"title":"Public–private wage differentials in Tunisia: Consistency and decomposition","authors":"Mohamed Amara, Wajih Khallouli, Faicel Zidi","doi":"10.1111/labr.12270","DOIUrl":"10.1111/labr.12270","url":null,"abstract":"<p>In this paper, we estimate and decompose the public–private wage differentials for urban areas, using the 2012 Tunisia urban youth survey. Oaxaca decomposition results suggest that, on average, public sector workers earn more than their private counterparts. Additionally, the results indicate that a substantial part of the conditional gap in urban areas can be attributed to observed characteristics. Human capital, particularly education, are the main reason behind the observed log-wage advantages. Using unconditional quantile decomposition, our findings reveal that, for urban areas, the discrimination effect becomes more pronounced at the upper quantiles of the wage distribution. Separate analyses by gender and educational levels show that male workers across both sectors receive higher compensation than their female counterparts, with a more pronounced gender gap in private sector. Less educated workers are compensated much more in the public sector than in the private sector, while the wage differential for skilled workers decreases rapidly through the distribution.</p>","PeriodicalId":45843,"journal":{"name":"Labour-England","volume":null,"pages":null},"PeriodicalIF":0.7,"publicationDate":"2024-03-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140226820","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}