This paper presents firm level evidence on the dynamics of nonmanual wage premia and employment shares in Italian manufacturing during the nineties. We find that the relative stability of aggregate wage premia and employment shares hides offsetting disaggregate forces. First, while technical progress raises the relative demand for skilled labor within firms, demand changes associated with exports reduce the relative demand for skills. Second, within the class of nonmanual workers, wage premia and employment shares of executives rise substantially, whereas those of clerks fall in a similar proportion. We also find that the export status of firms plays a key role in explaining labour market dynamics, as exporters account for most of both demand-related and technology-related shifts. Overall, our results for Italy question the general validity of the conventional view that emphasizes the role of labor market institutions, as opposed to trade and technology, in determining wage and employment dynamics in continental Europe.

Manasse, P., Stanca, L., Turrini, A. (2001). Wage Premia and Skill Upgrading in Italy: Why didn’t the Hound Bark? [Working paper del dipartimento].

Wage Premia and Skill Upgrading in Italy: Why didn’t the Hound Bark?

STANCA, LUCA MATTEO;
2001

Abstract

This paper presents firm level evidence on the dynamics of nonmanual wage premia and employment shares in Italian manufacturing during the nineties. We find that the relative stability of aggregate wage premia and employment shares hides offsetting disaggregate forces. First, while technical progress raises the relative demand for skilled labor within firms, demand changes associated with exports reduce the relative demand for skills. Second, within the class of nonmanual workers, wage premia and employment shares of executives rise substantially, whereas those of clerks fall in a similar proportion. We also find that the export status of firms plays a key role in explaining labour market dynamics, as exporters account for most of both demand-related and technology-related shifts. Overall, our results for Italy question the general validity of the conventional view that emphasizes the role of labor market institutions, as opposed to trade and technology, in determining wage and employment dynamics in continental Europe.
Working paper del dipartimento
Scientifica
Wage Premia; Skill Upgrading; Italy; Hound Bark
English
Manasse, P., Stanca, L., Turrini, A. (2001). Wage Premia and Skill Upgrading in Italy: Why didn’t the Hound Bark? [Working paper del dipartimento].
Manasse, P; Stanca, L; Turrini, A
File in questo prodotto:
File Dimensione Formato  
Wage_Premia_and_Skill_Upgrading_in_Italy.pdf

accesso aperto

Tipologia di allegato: Other attachments
Dimensione 225.2 kB
Formato Adobe PDF
225.2 kB Adobe PDF Visualizza/Apri

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/10281/22956
Citazioni
  • Scopus ND
  • ???jsp.display-item.citation.isi??? ND
Social impact