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Much of the literature on performance‐related pay (PRP) and poor health relies on self‐reported data, and the relationship is difficult to examine due to confounding variables. We examine the relationship between PRP and three groups of health measures using data from the UKHLS: blood pressure, inflammation markers in blood, and self‐reported health. Regressions correcting for self‐selection bias and socio‐demographic covariates find that PRP contracts are associated with poorer mental health, higher systolic blood pressure, and higher levels of fibrinogen. These findings suggest that firms that use PRP may need to implement policies to mitigate against PRP‐related stress. [ABSTRACT FROM AUTHOR]

This paper uses a matched employee-employer dataset using the Productivity and Investment Climate Survey 2007 to assess the relative effect of demand and supply-side characteristics on the wages of native and immigrant workers in Malaysia. In doing so, the study demonstrates noteworthy differences in the wage determination process. Individual supply-side characteristics are found to be a key determinant of wages for native workers, and are relatively more important in explaining the wage variation than demand-side effects. In contrast, individual supply-side characteristics are found to explain noticeably less of the wage variation for immigrant workers. Therefore, this study reveals that native and immigrant wages do not solely reflect the workers' productivity, although this effect is far more pronounced for the migrant workers. [ABSTRACT FROM AUTHOR]

There is some evidence that performance-related pay (PRP) leads to higher levels of stress as it incentivizes employees to work harder for longer. However, PRP in the workplace also typically involves performance monitoring, which may introduce an additional source of stress via social-evaluative threat (SET). The current study examined the effect of PRP on stress while varying the level of performance monitoring/SET. Using an incentivized mixed design experiment, 206 participants completed a simulated work task after being randomly allocated to either a PRP contract (£0.20 per correct response, n = 110) or minimum-performance fixed payment contract (£5 for ≥10 correct responses; £0 for <10, n = 96) condition. All participants completed the task during a high SET (explicit performance monitoring) and low SET (no monitoring) condition. Subjective and objective stress were measured through self-report and salivary cortisol. High SET led to higher levels of self-reported stress but not cortisol, whereas there was no effect of the payment condition on either self-reported stress or cortisol. A statistically significant interaction revealed that high SET-fixed payment participants were significantly more stressed than those in the high SET-PRP group. Estimating the regressions separately for high- and low-performing individuals found that the effect was driven by low-performing individuals. These results suggest that fixed payment contracts that have a minimum performance threshold and which include performance monitoring and SET can be more stressful than traditional piece-rate PRP contracts. The current study suggests that incorporating performance monitoring and SET into payment contracts may affect the well-being of employees. [ABSTRACT FROM AUTHOR]

BACKGROUND: Although recent economics literature suggests a link between performance-related pay (PRP) and ill health, this finding is contested on the grounds that this link is plagued by endogeneity between the two variables of interest. OBJECTIVE: This study investigates the adverse effects of performance-related pay on stress which is an important determinant of physical health. METHODS: Forty subjects were randomly assigned to two equal groups: either being paid by performance or being paid a flat fee. Both objective (saliva samples to measure cortisol elevation) and subjective (self-reported stress level) measures of stress were obtained before and after participation in the experiment. This experimental methodology purges the effects of self-selection into performance pay and identifies the direction of causation from performance-related pay to stress which is measured by cortisol levels. RESULTS: Those who were paid for their performance experienced higher levels of stress, both in terms of perceived stress and in terms of objectively measured cortisol levels, compared to those who were paid a flat fee for minimum performance. CONCLUSIONS: Performance-related pay induces objectively measurable stress. Self-reported stress levels and the objective stress measure obtained by measuring cortisol move in a similar direction for the PRP and non-PRP groups, but only the cortisol group shows statistically significant differences between the PRP and non-PRP. This also suggests that individuals underestimate the stress caused by performance pay. [ABSTRACT FROM AUTHOR]

This paper utilizes Productivity and Investment Climate Survey (PICS) 2007 data to explore native and immigrant wage differentials in Malaysia. An Oaxaca decomposition analysis was conducted by adapting Oaxaca and Ransom (1994) and Fortin's (2008) approach using quantile regression to identify the non-discriminatory wage structure and the components of the wage differentials along the income distribution. The findings of the study suggest that most of the native-immigrant wage gap can be explained by differences in endowments. This study also shows discrimination contributes to the wage gap by increasing the native wage by 15.4% above the non-discriminatory wage structure and reducing the immigrant wage by 13.3%. [ABSTRACT FROM AUTHOR]

During the last three decades, a notable increase in economic inequality is observed, accompanied by a decline in people's engagement in politics and electoral participation. This is an unsatisfactory phenomenon as it undermines the legitimacy of democratic representation. This negative association is produced by a complex salient mechanism. This study aims at investigating this issue. Using data from a panel of 28 OECD and European countries, this paper identifies a two‐way causal relationship between inequality and political participation. The results show that greater income inequality alienates and discourages people from engaging with common affairs, thus leading to lower political participation. Yet, lower electoral participation leads towards a less equitable distribution of income. Hence, this study reveals a self‐reinforcing mechanism where the unequal distribution of income leads to political exclusion, which in turn leads to more inequality. [ABSTRACT FROM AUTHOR]

While atypical employment contracts offer flexibility in the labor market, these kinds of contracts are inherently insecure and may generate stress among affected workers. This study examines the impact of atypical forms of employment (specifically seasonal or temporary jobs or a fixed time contracts) on workers' health. Survival analysis shows that, other things equal, the longer percent of time spent in flexible employment contracts increases the odds of falling into ill health for a variety of health conditions. The results are robust to controlling for the endogeneity in the relationship. [ABSTRACT FROM AUTHOR]

This article shows that unfavorable economic conditions at graduation decrease the likelihood of a good job-worker match over a worker's subsequent career. Mismatch is quantified in terms of overeducation by both industry and occupation. The German Socio-Economic Panel and region-level unemployment rates from 1994 to 2012 are used. Instrumental variables estimates account for endogenous graduation timing. A single percentage point increase in regional unemployment causes an increase in the probability of overeducation of 1.6-1.7 percentage points for university graduates. Effects for technical tertiary education and apprenticeship graduates are smaller. Labor market entry conditions affect workers for up to 9 years after graduation. ( JEL J23, J22, E32, I23) [ABSTRACT FROM AUTHOR]

Purpose Since the literature on the effect of the unemployment rate as reflection of economic fluctuations on crime shows an empirically ambiguous effect, the purpose of this paper is to argue that a new way of modeling the dynamics of unemployment and crime by focussing on the transitory and persistent effect of unemployment on crime helps resolve this ambiguity.Design/methodology/approach Panel data for US states from 1965 to 2006 are examined using the Mundlak (1978) methodology to incorporate the dynamic interactions between crime and unemployment into the estimation.Findings After decomposing the unemployment effect on crime into a transitory and persistent effect, evidence of a strong positive correlation between unemployment and almost all types of crime rates is unearthed. This evidence is robust to endogeneity and the controlling for cross-panel correlation and indicators for state imprisonment.Originality/value The paper is the first to examine the dynamics of the interaction of crime and economic fluctuations using the temporary and persistent effects framework of Mundlak (1978). In one set of estimates, one can evaluation both the short- and long-run effects of changes of unemployment on crime. [ABSTRACT FROM AUTHOR]

The standard treatment of occupational risk in the labour market is conducted in terms of the theory of compensating wage differentials, the basic characteristic of which is that workers can fully estimate actual occupational risks. However, research in cognitive psychology, and recent advances in economic psychology, suggest that individuals consistently underestimate risks associated with accidents. In this paper, we discuss the case when the workers systematically underestimate job risks. After presenting the standard treatment of occupational risks, and of health and safety at work regulation, we then proceed to incorporate the idea of job risk underestimation. The paper discusses the types and impact of regulation on health and safety effort in a simple framework in which workers' beliefs concerning accident risks also play a role. The paper shows that a particular type of regulatory intervention is necessary for the risk underestimating workers not to suffer a welfare loss. [ABSTRACT FROM AUTHOR]

This paper investigates the effect of unionization on occupational safety and health, as measured by the fatal and non-fatal work accidents, after controlling for the country's gross domestic product. It uses a panel sample of 10 European Union countries, for the period 1982-2006. The study takes into account the time persistence in work injuries and the endogenous nature of the work injuries-union density relationship. In addition, the effect of union density is decomposed into a temporary and permanent effect. It is shown that increasing union density is associated with a decrease in the number of both fatal and non-fatal work injuries. [ABSTRACT FROM AUTHOR]

This study investigates how unemployment and income influence the length of time an individual remains in good health. This is a complex relationship since unemployment or low income deteriorates health but poor health can become a barrier to obtaining higher income or gaining re-employment. Data are from the British Household Panel Survey, using two measures of physical health: an index of mobility problems and a measure of self-assessed health. The results show that unemployment, low income and poor education adversely affect the time that people remain in good health. These results have important implications for public policy, particularly in an age of austerity when social protection mechanisms are under threat. In fact, the results suggest that to improve health and reduce health inequality, more investment needs to be directed at policies that enhance labour force participation, improve education and reduce income inequality. [ABSTRACT FROM AUTHOR]

Using US state-level data for 1974 to 2003, this article estimates a relationship that describes both the transitory and permanent effects of unemployment rates on mortality. It shows that the transitory effect of increasing unemployment rates is to decrease mortality. The permanent effect of increasing unemployment rates is to increase mortality. The detrimental effects of higher unemployment rates on health take a long time to become visible. The permanent scars of unemployment on population health are detrimental and overwhelming. They dwarf any opposite and transitory effects. [ABSTRACT FROM AUTHOR]

Although performance pay schemes have been linked to labour market productivity, one unintended consequence, suggested early by Adam Smith, is that performance pay is detrimental to health. Recent research has shown that there is a positive relationship between performance pay and injuries on the job. This article focusses on the consequences of performance pay on health and investigates if there is a link between performance pay and self-reported general health or specific illnesses. Using data from the British Household Panel Survey, this study uses survival analysis to show that being in jobs with a performance pay element increases the likelihood of health deterioration, ceteris paribus. [ABSTRACT FROM PUBLISHER]

This paper examines the effect of income inequality on individual wellbeing. The results show that those in the lowest twenty percent of income distribution have a marked reduction in wellbeing compared to the remainder. Hence, poverty is detrimental to wellbeing. The second key finding of this paper is that the existence of permanent aggregate income inequality reduces the wellbeing of individuals in other parts of income distribution, irrespective of their level of income. Income inequality is bad for everyone's wellbeing. [ABSTRACT FROM AUTHOR]

This study investigates the concept of loyalty in the employment relationship using a stated preference approach and a dataset obtained through purpose-built questionnaires. Reciprocal loyalty is defined as a gift exchange. Workers' good performance is rewarded by the employer by the provision of a job with a low likelihood of job loss. The study shows that such reciprocal employer-employee loyalty is highly rated by the workers as a desirable job attribute. Loyalty in the employer-employee relationship is differently valued by unionized and nonunionized workers. Overall, the evidence suggests that unionized workers are more receptive to arrangements involving reciprocal loyalty. This may be an outcome of adaptation to internalized norms of union behavior. [ABSTRACT FROM AUTHOR]

Résumé. Les recherches récentes sur la relation entre le chômage et la mortalité sont contradictoires. La présente étude utilise une méthodologie statistique pour décomposer les effets du chômage en effets temporaires et effets permanents, et évalue cette relation à l'aide de données agrégées collectées dans onze pays européens durant la période 1971-2001. Généralement, l'effet temporaire d'une hausse du chômage tend à faire baisser la mortalité, tandis que l'effet permanent tend à la faire augmenter. Il est important de noter que ce dernier est d'ordinaire plus fort que le premier. Ces résultats sont valables pour quasiment tous les indicateurs de la mortalité. [ABSTRACT FROM AUTHOR]

. Recent research on the relationship between unemployment and mortality is inconsistent. The statistical methodology used in this study decomposes the effect of unemployment on mortality into temporary and permanent effects and estimates the unemployment-mortality relationship, using aggregate data from 11 European countries for the period 1971-2001. Decomposing the effect of unemployment in this way shows that while the temporary effect of an increase in unemployment is to lower mortality, the permanent effect is to increase it. Importantly, the permanent effect is generally much stronger than the temporary effect. These results hold true for nearly all mortality indicators studied. [ABSTRACT FROM AUTHOR]

Copyright of Revista Internacional del Trabajo is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This paper engages in an interdisciplinary survey of the current state of knowledge related to the theory, determinants and consequences of occupational safety and health (OSH). It first describes the fundamental theoretical construct of compensating wage differentials, which is used by economists to understand the optimal provision of OSH in a perfectly competitive labour market. The plethora of incentives faced by workers and firms in job and insurance markets that determine the ultimate level of OSH are discussed in detail. The extensive empirical evidence from the hedonic wage and stated choice approaches used to assess the value of OSH is reviewed. The causes of inefficiency and inequity in the market for OSH, such as externalities, moral hazard in compensation insurance, systematic biases in individual risk perception/well-being and labour market segregation are subsequently examined. The implications of government intervention and regulation for tackling the aforementioned inefficiencies in OSH are then considered. Finally, the survey identifies areas of future research interests and suggests indicators and priorities for policy initiatives that can improve the health and safety of workers in modern job markets. [ABSTRACT FROM AUTHOR]

This paper focuses on an interesting and controversial debate on the factors underlying economic growth. Kaldor's belief that increasing returns to manufacturing production are the driver of growth is confronted with data from 11 representative countries spanning nearly two decades. Various alternative and complementary specifications are investigated using a panel estimation methodology. The results show that growth in manufacturing output is an important determinant of both productivity growth and gross domestic product growth, and that, despite its increasing size, the service sector does not appear to play a similar role. [ABSTRACT FROM AUTHOR]

An investment model where firms mitigate adverse hold-up effects using hiring and personnel policies is theoretically investigated and empirically scrutinized. While no evidence for the prediction of differing worker characteristics, other than gender, across firms is found, demand (firm) side factors are evident in the hiring process. Evidence on other personnel policies is consistent with theory, which predicts firms with high-investment expenditures resist unions, utilize more temporary and shift-time workers and conduct more multitask training. Wages in high-investment firms are higher, more sensitive to unemployment and experience variables that exhibit greater effects than in low-investment firms. [ABSTRACT FROM AUTHOR]

This study evaluates the effect of the individual's household income on their health at the later stages of working life. A structural equation model is utilized in order to derive a composite and continuous index of the latent health status from qualitative health status indicators. The endogenous relationship between health status and household income status is taken into account by using IV estimators. The findings reveal a significant effect of individual household income on health before and after endogeneity is taken into account as well as a host of other factors known to influence health, including hereditary factors and the individual's locus of control. Importantly, it is also shown that the childhood socioeconomic position of the individual has long lasting effects on health as it appears to play a significant role in determining health during the later stages of working life. [ABSTRACT FROM AUTHOR]

Marine protected areas (MPAs) are attracting widespread attention worldwide as a tool for fishery management and marine ecosystem conservation. The establishment of MPAs has increased greatly in recent years mostly due to international commitments to the establishment of a global network of MPAs by 2012. MPAs have the potential to strongly affect the fishing industry, and their success depends, at least partly, on fishers' attitudes towards this management measure. However, research on MPAs tends to focus on the ecological and conservation aspects of this management approach and not on its human dimensions. Studies in attitudes, perceptions, beliefs and preferences related to MPA issues have been identified as priority social science topics in need of research. We present a 'rapid review', conducted systematically, of the literature published up to September 2009 and aimed at identifying the most investigated topics related to commercial fishers' attitudes towards MPAs, describing the main findings from these studies, and analysing the implications for management. Most published work focuses on fishers' attitudes towards issues of governance, conservation of biodiversity and the environment, and the impact of MPAs on fishing activity. Despite the recent increase in the literature on the human dimensions of MPAs, the present review reveals that little of this literature originates from empirical studies. Hence, given the forthcoming increase in the implementation of MPAs in the near future, research on fishers' attitudes towards these management measures is critically needed. [ABSTRACT FROM AUTHOR]

This study attempts to estimate the 'utility cost' of temporary employment contracts purged of the psychological effects of adaptation. A conjoint analysis experiment is used that examines the ex ante contract preferences of a unique sample of low-skilled employees from seven European countries. It is shown that permanent contract holders request a significant wage premium to move to a temporary job. In contrast, temporary workers are indifferent between permanent and temporary contracts, ceteris paribus. The evidence suggests that individuals have a psychological immune system which neutralizes events that challenge their sense of wellbeing, such as job insecurity. [ABSTRACT FROM AUTHOR]

Résumé. Les données de six vagues d'enquětes du Panel européen des ménages (1996-2001) collectées dans onze pays indiquent que les travailleurs à bas salaire de l'Europe du Sud sont, contrairement à ceux de l'Europe du Nord, nettement moins satisfaits de leur emploi que les travailleurs à salaire élevé. En calculant par approximation la satisfaction au travail pour évaluer la qualité de l'emploi, les auteurs montrent que, si bas salaire ne rime pas nécessairement avec emploi de mauvaise qualité, les travailleurs de certains pays sont néanmoins doublement pénalisés: ils sont mal rémunérés et ont un travail de mauvaise qualité. Selon les auteurs, ce dualisme des marchés du travail en Europe correspond à des approches différentes au niveau national du compromis entre flexibilité et sécurité, cette dernière devant ětre privilégiée au plan politique pour améliorer la qualité de l'emploi. [ABSTRACT FROM AUTHOR]

. Data from six waves of the European Community Household Panel (1996-2001) in 11 countries suggest that low-paid employees are significantly less satisfied with their job than the high-paid in southern Europe, but not in the northern countries. Proxying job satisfaction for job quality, the authors show that while low-paid employment does not necessarily mean low-quality employment, workers in some countries suffer the double penalty of low pay and low job quality. Such dualism across European labour markets, they argue, reflects different country-level approaches to the trade-off between flexibility and security, calling for a policy focus on the latter to enhance job quality. [ABSTRACT FROM AUTHOR]

Copyright of Revista Internacional del Trabajo is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The purpose of this study was to shed light on the individual socioeconomic status and demographic determinants of the demand for health care in a cross-comparison study of nine European Union countries. It focuses on the effects of individual employment status on alternative indicators of demand for health care that constitutes a largely unexplored area. The evidence supports the existence of an employment status-demand for healthcare relationship, although it varies with respect to the type of health care examined and the institutional and environmental settings of the countries utilized in the study. [ABSTRACT FROM AUTHOR]

This article examines the incidence of and reasons for multiple-job holding in the context of rural communities where multiple-job holding is viewed as an important means of promoting community sustainability. Drawing upon a unique data set of a relatively homogeneous population living in an isolated area on the west coast of Scotland, where employment opportunities are limited, dual-job holding is investigated within the fisheries and aquaculture occupations. Evidence is found that the hours constraints motive for multiple-job holding better explains multiple-job-holding behavior among employed rural workers in aquaculture than among self-employed fishermen, and that educational attainment has a positive impact on the incidence of multiple-job holding. [ABSTRACT FROM AUTHOR]

In this paper we compare periods of low-paid employment between urban and rural areas in the United Kingdom. Using the British household panel survey, we estimate the probability that a period of low-paid employment will end, followed by a number of possible outcomes, namely a higher-paid job, self-employment, unemployment, and leaving the labour force. The results show that there are statistically significant differences in the dynamics of low pay across urban and rural labour markets, particularly in terms of exits to higher pay and out of the labour force. After controlling for different personal and job characteristics across markets, urban low-pay durations are somewhat shorter on average, with a higher probability of movement to a higher-paid job. The results suggest that any urban-rural differences in the typical low-pay experience are concentrated among certain types of individuals, such as young workers and women without qualifications. [ABSTRACT FROM AUTHOR]

A cubic functional form of an econometric model for residential water demand estimation is used in order to accommodate different price elasticities for different levels of water demand. Precise estimates of these different price elasticities offer a useful tool to water authorities for urban water demand management through price, based policies. Panel estimation methods (fixed and random effects) are employed to estimate model parameters. The results show that a cubic form of the demand equation can provide appropriate estimates of price elasticities for different ’consumption groups’ of residential customers. In addition, the effect of public awareness and information on water conservation is also evaluated after controlling other parameters affecting demand for water Thus, another implication of this study is that well-informed consumers, aware of issues of water conservation and of techniques for water efficient use, may be more inclined to reduce their water consumption. [ABSTRACT FROM AUTHOR]

This paper presents a model of the labour market with a contract and a spot market sector. Contracts are binding and enforceable, but unemployed contract workers are free to work in the spot market. The contracting wage is shown to be constant across states. A non-trivial result shows that the spot market wage is increasing with product price. An increase in product price has an ambiguous effect on contract employment. An increase in unemployment benefits increases the contracting sector wage whilst stabilizing the spot market wage, and may have ambiguous effects on unemployment. [ABSTRACT FROM AUTHOR]

This paper examines the extent of urban-rural differences in low pay and the link between low pay and low incomes using data on urban and rural residents from the British Household Panel Survey for 1991-98. The results suggest that, overall, urban wages were significantly less than accessible rural but significantly more than remote rural wages even after adjustments were made for differences in observed characteristics. A lower percentage of urban workers who experienced low pay were also resident in low-income households. Lower urban in-employment and in-self-employment poverty were found relative to poor remote rural households even after differences in the characteristics across the different samples were controlled for. [ABSTRACT FROM AUTHOR]

This article explores the extent to which the potential impact of the national minimum wage might differ in rural areas. Using pre-1999 data from the British Household Panel Survey, a number of dimensions of the policy's potential impact in rural areas are considered, in particular, the number of workers affected, their typical characteristics, and the effects on pay inequality and household income distribution. The results show that for the majority of rural areas that are accessible to urban labour markets, the impact is likely to be broadly similar. In contrast, the potential impacts, and particularly the distributional effects, of the national minimum wage are found to be greatest in remoter rural areas. [ABSTRACT FROM AUTHOR]

Presents information on a study regarding the relationship between real wages and employment. Income and cost effects of wage changes; Methodology; Details on the unit root test results; Cointegration results.

Investigates the relationship between promotion status, job tenure, product demand and earnings. Use of matched employer-employee sample that gives direct information on individuals' promotion prospects; Modeling of promotion status as an endogenous variable; Effect of job tenure and product demand on earnings level.