While previous research has suggested the coincidence of CEO turnover and real changes in firm operations such as discontinued operations, we demonstrate that such findings apply only to specific types of CEO turnover, and only if other top executives also exit the firm. Categorizing specific...

In this study, we explore the relation between job characteristics and employees' self-evaluations of performance in comparison to their colleagues' performance. Making use of unique individual panel data of ten large firms in Germany's chemical industry, we focus on monetary rewards (bonus...

To what extent, if at all, did employee-owned (EO) firms maintain jobs for workers compared to non-EO firms in the spring 2020 Covid-19 shock to the US economy? Did EO firms shift jobs from workplaces to work-from-home locations in the pandemic more or less than other firms? This paper uses a...

The BRICS countries have aspirations to achieve sustainable development in their economies and environmental protection. These aspirations have an important social aspect in the area of employment protection as it relates to ensuring fair development. In order to establish national standards for...

Many street-level bureaucrats (such as caseworkers) have the dual task of helping some clients, while sanctioning others. We develop a model of such a street-level bureaucracy and study the implications of its personnel policy on the self-selection and allocation decisions of agents who differ...

In recent decades, most developed countries have experienced a simultaneous increase in income inequality and management compensation. In this paper, we study the relation between management compensation and firm-level income dynamics in a general equilibrium model. Empirical estimation, of the...

We use monthly personnel records of a large German company to analyse the gender wage gap (GWG). Main findings are: (1) the unconditional GWG is 15 percent for blue-collar and 26 percent for white-collar workers; (2) conditional on tenure, entry age, schooling, and working hours, the GWG is 13...

We derive the optimal contract between a principal and a liquidity-constrained agent in a stochastically repeated environment. The contract comprises a court-enforceable explicit bonus rule and an implicit fixed salary promise that must be self-enforcing. Since the agent's rent increases with...

We suggest a parsimonious dynamic agency model in which workers have status concerns. A firm is a promotion hierarchy in which a worker's status depends on past performance. We investigate the optimality of two types of promotion hierarchies: (i) internal labor markets, in which agents have a...

We study the long-run effects of initial labor market conditions on wages for a large sample of male individuals entering the Austrian labor market between 1978 and 2000. We find a robust negative effect of unfavorable entry conditions on starting wages. This initial effect turns out to be quite...