Rising between-workplace inequalities in high-income countries

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  • dc.contributor.author Tomaskovic-Devey, Donald
  • dc.contributor.author Melzer, Silvia Maja
  • dc.contributor.author Tufail, Zaibu
  • dc.date.accessioned 2023-05-16T06:19:25Z
  • dc.date.available 2023-05-16T06:19:25Z
  • dc.date.issued 2020
  • dc.description.abstract It is well documented that earnings inequalities have risen in many high-income countries. Less clear are the linkages between rising income inequality and workplace dynamics, how within- and between-workplace inequality varies across countries, and to what extent these inequalities are moderated by national labor market institutions. In order to describe changes in the initial between- and within-firm market income distribution we analyze administrative records for 2,000,000,000+ job years nested within 50,000,000+ workplace years for 14 high-income countries in North America, Scandinavia, Continental and Eastern Europe, the Middle East, and East Asia. We find that countries vary a great deal in their levels and trends in earnings inequality but that the between-workplace share of wage inequality is growing in almost all countries examined and is in no country declining. We also find that earnings inequalities and the share of between-workplace inequalities are lower and grew less strongly in countries with stronger institutional employment protections and rose faster when these labor market protections weakened. Our findings suggest that firm-level restructuring and increasing wage inequalities between workplaces are more central contributors to rising income inequality than previously recognized.
  • dc.description.sponsorship The research and writing of this paper has been supported by many institutions. Monetary support from the US National Science Foundation (grant SES-1528294), the Alexander von Humboldt Foundation (grant AR8227), the European Research Council Advanced Grant (grant 340045), the Independent Research Fund Denmark (grant 5052-00143b), Swedish Forte (grant 2015-00807), the European Social Fund and state budget of the Czech Republic (grant CZ.03.1.51/0.0/0.0/15_009/0003702) institutional support: Rozvoj Výzkumné Organizace (RVO: 68378025), Research Council of Norway (Grant 287016), and the French Research Agency (Grant ANR-17-CE41-0009-01).
  • dc.format.mimetype application/pdf
  • dc.identifier.citation Tomaskovic-Devey D, Rainey A, Avent-Holt D, Bandelj N, Boza I, Cort D, et al. Rising between-workplace inequalities in high-income countries. Proc Natl Acad Sci U S A. 2020;117(17):9277-83. DOI: 10.1073/pnas.1918249117
  • dc.identifier.doi http://dx.doi.org/10.1073/pnas.1918249117
  • dc.identifier.issn 0027-8424
  • dc.identifier.uri http://hdl.handle.net/10230/56838
  • dc.language.iso eng
  • dc.publisher National Academy of Sciences
  • dc.relation.ispartof Proceedings of the National Academy of Sciences (PNAS). 2020;117(17):9277-83.
  • dc.relation.isreferencedby https://www.pnas.org/doi/suppl/10.1073/pnas.1918249117/suppl_file/pnas.1918249117.sapp.pdf
  • dc.relation.projectID info:eu-repo/grantAgreement/EC/FP7/340045
  • dc.rights This open access article is distributed under Creative Commons Attribution-NonCommercialNoDerivatives License 4.0 (CC BY-NC-ND).
  • dc.rights.accessRights info:eu-repo/semantics/openAccess
  • dc.rights.uri http://creativecommons.org/licenses/by-nc-nd/4.0/
  • dc.subject.keyword inequality
  • dc.subject.keyword workplaces
  • dc.subject.keyword administrative data
  • dc.subject.keyword earnings
  • dc.subject.keyword institutions
  • dc.title Rising between-workplace inequalities in high-income countries
  • dc.type info:eu-repo/semantics/article
  • dc.type.version info:eu-repo/semantics/publishedVersion