This article develops a new multilateral decomposition procedure for the analysis of wage differentials and applies this to the racial wage hierarchy in the South African labour market. Using micro-data on male workers from the 1994 October Household survey, it is found that whites received the...

This article develops a multilateral decomposition procedure for the analysis of wage differentials and applies this to the evolution of the racial wage hierarchy in South Africa over the period 1993-2001. We find evidence that the wage position of the majority African workforce improved...