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The relationship between profit-sharing schemes and wages: Evidence from French firms

Author

Listed:
  • Floquet, Mathieu
  • Guery, Loris
  • Guillot-Soulez, Chloé
  • Laroche, Patrice
  • Stévenot, Anne

Abstract

The article tackles the impact of profit sharing plans (PS) on compensation policies in the French context. Using a sample of 1,143 firms from surveys of the Ministry of Labour, the authors draw up a typology based on a mix of PS plans including cash-based PS, deferred PS and the intensity of deferred plans (additional employer and employee contributions). Our results indicate that profit sharing does not seem to be considered as a way to reduce wages. Cash-based PS-oriented and high-deferred PS policies are not significantly linked to lower wages; but only firms with high-deferred PS policies are related to significantly higher wages.

Suggested Citation

  • Floquet, Mathieu & Guery, Loris & Guillot-Soulez, Chloé & Laroche, Patrice & Stévenot, Anne, 2016. "The relationship between profit-sharing schemes and wages: Evidence from French firms," management revue. Socio-economic Studies, Rainer Hampp Verlag, vol. 27(4), pages 219-233.
    • Handle: RePEc:rai:mamere:mrev-2016-floquet
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    Cited by:

    1. Emmanuel Petrakis & Panagiotis Skartados, 2021. "Strategic profit‐sharing in a unionized differentiated goods oligopoly," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(2), pages 582-622, May.

    More about this item

    Keywords

    profit sharing; compensation; wages; France;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects

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