Relative wage positions and quit behavior: new evidence from linked employer-employee data
Research output: Working paper › Working papers
Authors
We use a large linked employer-employee data set to analyze the importance of relative wage positions in the context of individual quit decisions as an inverse measure of job satisfaction. Our main findings are: (1) Workers with higher relative wage positions within their firms are on average more likely to quit their jobs than workers with lower relative wage positions; and (2) workers, who experience a loss in their relative wage positions, are also more likely to have a wage cut associated with their job-to-job transition. The overall results therefore suggest that the status effect is dominated by an opposing signal effect.
| Original language | English | 
|---|---|
| Place of Publication | Lüneburg | 
| Publisher | Institut für Volkswirtschaftslehre der Universität Lüneburg | 
| Number of pages | 47 | 
| Publication status | Published - 2010 | 
- Economics
 
