Teamwork and Intra-Firm Wage Dispersion Among Blue-Collar Workers

39 Pages Posted: 23 May 2008

See all articles by Uwe Jirjahn

Uwe Jirjahn

University of Trier - Faculty of Economics

Kornelius Kraft

University of Dortmund - Department of Economics; IZA Institute of Labor Economics

Abstract

Using data on a sample of manufacturing establishments in Germany, we find that the use of self-managed teams is associated with increased intra-firm wage inequality between skilled and unskilled blue-collar workers. We also show that moderating factors play an important role. While teamwork interacts positively with employer-provided further training and a production technology of the most recent vintage, it interacts negatively with the age of the establishment and the coverage by a collective bargaining agreement.

Keywords: technology, training, skill-biased organizational change, wage inequality, establishment age, collective bargaining

JEL Classification: J30, J31, M52

Suggested Citation

Jirjahn, Uwe and Kraft, Kornelius, Teamwork and Intra-Firm Wage Dispersion Among Blue-Collar Workers. IZA Working Paper No. 3291, Available at SSRN: https://ssrn.com/abstract=1136453 or http://dx.doi.org/10.1111/j.0042-7092.2007.00700.x

Uwe Jirjahn (Contact Author)

University of Trier - Faculty of Economics ( email )

Trier, 54286
Germany

Kornelius Kraft

University of Dortmund - Department of Economics ( email )

D-44221 Dortmund
Germany
+49 231 755-3152 (Phone)
+49 231 755-3155 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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