Seniority profiles in unionised workplaces:Do unions still have the edge?

This paper, using data from the British Household Panel; Survey, explores how institutional arrangements influence employees’ wages. Particularly, it distinguishes the different paths seniority-earnings profiles follow depending on whether the individual is employed in a workplace where trade unions and collective bargaining are present, or not. Within this framework, two propositions are set. It is argued that in the union sector seniority should be an important determinant of wages, while in the less structured non-union sector true productivity, proxied by the more competitive accumulated skills and professional expertise, should have a key role on earnings profiles. Indeed the empirical analysis on male employees verifies both propositions. Seniority-earnings profiles appear to be steeper in the union-sector, while occupational expertise is estimated to have a more significant role in non-union jobs

Profitable Career Paths: The Importance of Occupational and Industry Expertise

This paper departs from the conventional assumption that divides accumulated in work human capital into employer-specific and general labour market skills, and pursues the idea of industry and occupational specificity. Occupation-specific skills are estimated to have an important contribution in wage determination, while the evidence on industry specificity is not strong and in some cases inconclusive. The findings also outline that industry and occupational expertise are truly important to individuals’ earnings in industry sectors and occupations that are characterised by high-paying, prestigious but, competitive and demanding jobs, like professional and managerial jobs or jobs in the banking and finance sector

The social gradient in health: the effect of absolute and relative income on the individual's health

Abstract This study investigates the effect of absolute income and relative income on health in the light of medical evidence indicating that the individual’s position in the social hierarchy undermines his or her mental and physical health. It uses an instrumental variable estimation methodology that controls for the ‘endogeneity’ problem to statistically identify the social gradient in physical and mental health. The paper shows that individuals’ own income has a positive, but modest effect on health. Absolute income appears to affect only the objective measures of health. Importantly, relative income- as a proxy for social status and position in the social hierarchy - has a significant effect on all measurements of health, with individuals higher in the social ladder enjoying better health. Finally, the results shown that individuals from families that were well-off financially (when at the age of 14) having better physical and mental health.European Commissio

Profitable Career Paths: Accumulated Skills in Work, Their Degree of Transferability and Wage Premia

In this paper we challenge the conventional assumption that accumulated human capital can be divided into employer-specific and general labour market skills and explore the possibility of industry and occupational specificity. The estimates of a Mincer wage equation, on a BHPS sample, suggest some interesting patterns. Occupational expertise, so far overlooked in the literature, appears to play a major role on workersÕ earnings profiles. Antithetically, the evidence on industry experience is limited and in some cases mixed. Furthermore, the estimated occupational effect is actually driven by some particular occupations, implying that expertise is important only in these specific career paths.human capital, occupational expertise, industry experience, wages

Inequality and Participative Democracy A Self-Reinforcing Mechanism

Publisher PD

Should I stay or Should I Go? The effect of Gender, Education and Unemployment on Labour Market Transitions

The literature on job mobility patterns and search behaviour has highlighted significant gender differences. Women on average appear to suffer a higher risk of redundancy or dismissal, they exhibit a lesser commitment to the labour market activity, and they are relatively less mobile than men (Theodossiou, 2002). They are also more likely to exit employment for employee-initiated reasons, namely a family or personal reason, in contrast to men who are more likely to exit employment for an employer-initiated reason such as layoff or dismissal (Keith and McWilliams, 1997). However, although women are more likely to exit employment for a voluntary reason compared to men, men are more likely to be engaged in on-the-job search aiming at voluntary job mobility compared to women (Parson, 1991; van Ophem, 1991; Keith and McWilliams, 1999). The primary reason for these gender differences in the labour market behaviour are the societal constraints associated with women’s dominant role in childcare. Hersch and Stratton (1997) show that women, especially married women, spend three times more time engaged in household activities and are substantially more prepared to quit their job for a family-related reason than men are (Keith and McWilliams, 1997; Theodossiou, 2002)

Occupational and industry specificity of human capital in the British labour market

This paper builds on the recent literature on the importance of occupational and industry experience on wages and extends Kambourov and Manovskii’s (2002) study using British data. Occupational experience is estimated to make a significant contribution to wage growth, while the evidence on industry specificity is not very supportive. The second contribution of the paper is that it assesses whether there is heterogeneity in the estimated returns to work experience across 1-digit industries and occupations. The findings suggest that industry and occupational experience is important for individuals in professional and managerial jobs or jobs in the banking and finance sector

Eye Care Service in Scotland: Did the Scots Get it Right?

In March 2004, the Scottish government announced a review of eye care services in Scotland, which culminated in the introduction of free eye examinations from 1st April 2006. This free eye examination is not just a sight test; it is a thorough examination to check the health of the patient’s eyes and to look for signs of other health problems. The Scottish government commissioned private ophthalmic optician practices to perform these eye examinations. Consequently, since April 2006 individuals in Scotland could walk into any high street optometry practice and get a ‘free’ eye examination funded under the NHS

Sickness Absence: a Pan-European Study

This study, using the EU-LFS, examines the determinants of sickness absence in 26 EU countries. The analysis highlights the importance of demographic and workplace characteristics and of institutional and societal conditions. Female workers aged 26-35 exhibit higher absenteeism, possibly reflecting the level of high household labour pressure. Increased job insecurity, captured by temporary contracts, and labour market uncertainty, reflected in higher unemployment rates, have a negative effect on absenteeism. Finally, individual sickness absence is lower in countries with higher proportion of dependent/out of the labour market individuals, probably because of the increasing pressure labour active people may experience.Absenteeism, sickness, EU, Labour Force Survey