Hierarchy and the Employer Size Effect on Wages

Evidence from Britain

Datos Bibliográficos

ID9727472
AutoresC Green (0000-0001-6156-4676, Norwegian University of Science and Technology, autor de correspondencia), Colin P Green (Norwegian University of Science and Technology), John S Heywood (0000-0001-9600-2462, University of Wisconsin–Milwaukee), Nikolaos Theodoropoulos (University of Cyprus), Νικόλαος Θεοδωρόπουλος (0000-0002-0415-6534, University of Cyprus)
Año2021
Volumen88
Número351
Páginas671-696
Fecha de publicación2021-07-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaEconomica (JOURNAL)
Identificadores de la revistaISSN: 0013-0427 • E-ISSN: 1468-0335
EditorialWiley (PUBLISHER • GB)
DOI10.1111/ecca.12364
OpenAlexW3122384934
IdiomaEN
Citas recibidas2
Referencias citadas53

We argue that employer size wage effects reflect the role of hierarchy. Using matched employer–employee data and individual longitudinal data, we show that the employer size wage effects for supervisors are approximately twice those for non‐supervisors. We confirm sorting on supervisor ability, and present evidence of additional match‐specific wage returns for supervisors. We demonstrate that spans of control influence the establishment size return for supervisors but not for non‐supervisors. Talented supervisors sort into larger establishments taking a talent premium with them, but they also receive a match‐specific return on that talent only when matched with a larger establishment

Business · Control (management) · Demographic economics · Economics · Hierarchy · Labour economics · Management · sort · Sorting · Supervisor · Wage · Wage growth · Computer Science · Corporate Finance and Governance · Firm Innovation and Growth · Labor market dynamics and wage inequality

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