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PRODID:https://www.diw.de/de/diw_01.c.806339.de/veranstaltungen.html
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UID:diw_01.c.842564.en
LOCATION:Karl Popper Room,DIW Berlin,2.3.020,Anton-Wilhelm-Amo-Strasse 58,10117 Berlin
SUMMARY:A decomposition of the life-cycle part-time wage gap: Forgone promotion prospects and stagnant wage growth within job levels
DESCRIPTION:12:30-13:30 //       Long periods of part-time work lead to a stagnation of wage growth. In this paper, I study how the wage stagnation decomposes in lack of career development and the lack of wage growth conditional on the career level. I develop a dynamic choice model of labor supply which distinctly incorporates vertical career moves to jobs paying higher wages as a function of the choice of hours of work. I use a new classification of occupations available in the German Socio Economic Panel to estimate the decomposition of the long run-part time penalty for females in Germany. Bringing the model to the data, I find that accounting for levels on the career ladder diminishes previously estimated part-time penalty coefficients substantially. I further estimate that the higher share of the long-run part-time penalty accrues to foregone opportunities to be promoted. Delaying the birth of the first child by two years leads to significant increase in labor market earnings and an improvement in career outcomes. A similar improvement is as good as impossible to achieve by a reasonable decrease in child care costs. These findings highlight that distinguishing between a career prospects penalty and a within level experience accumulation penalty is key for optimal policy design.      
DTSTART;VALUE=DATE:20220615
DTEND;VALUE=DATE:20220615
DTSTAMP:20220126T230000Z
URL:https://www.diw.de/en/diw_01.c.842564.en/events/a_decomposition_of_the_life-cycle_part-time_wage_gap__forgon___omotion_prospects_and_stagnant_wage_growth_within_job_levels.html
ORGANIZER;CN=Clara Schäper:mailto:cschaeper@diw.de
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