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Wage Discrimination in the Reemployment Process

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  • Kostas G. Mavromaras
  • Helmut Rudolph

Abstract

This paper examines wage discrimination by gender in the reemployment market by looking at the experiences of unemployed individuals and decomposing their wage gap upon reemployment. The Neumark decomposition technique is extended to incorporate selectivity and counter-factual estimates are used to explain the development of the wage gap over time. Whereas total discrimination upon reemployment is declining over time, the part directly attributable to hiring is increasing. Policy-makers should consider that employers, constrained by existing legislation that does not address hiring issues directly, are switching over to discriminatory hiring practices that are becoming relatively easier to adopt, less likely to be detected and harder to prove in a court of law.

Suggested Citation

  • Kostas G. Mavromaras & Helmut Rudolph, 1997. "Wage Discrimination in the Reemployment Process," Journal of Human Resources, University of Wisconsin Press, vol. 32(4), pages 812-860.
    • Handle: RePEc:uwp:jhriss:v:32:y:1997:i:4:p:812-860
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    Citations

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    Cited by:

    1. S. A. Drakopoulos & I. Theodossiou & Sarah Drakopoulou Dodd, 2008. "Gender Discrimination and Institutional Frameworks: Evidence from Four European Union Countries," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 1(1), pages 6-36, April.
    2. G. Russo & W.H.J. Hassink, 2005. "The Part-Time Wage Penalty: a Career Perspective," Working Papers 05-01, Utrecht School of Economics.
    3. Lia Pacelli & Silvia Pasqua & Claudia Villosio, 2007. "What Does the Stork Bring to Women’s Working Career?," LABORatorio R. Revelli Working Papers Series 58, LABORatorio R. Revelli, Centre for Employment Studies.
    4. Leonora Risse & Lisa Farrell & Tim R L Fry, 2018. "Personality and pay: do gender gaps in confidence explain gender gaps in wages?," Oxford Economic Papers, Oxford University Press, vol. 70(4), pages 919-949.
    5. Elder, Todd E. & Goddeeris, John H. & Haider, Steven J., 2010. "Unexplained gaps and Oaxaca-Blinder decompositions," Labour Economics, Elsevier, vol. 17(1), pages 284-290, January.
    6. Jan Ondrich & Katharina C. Spieß & Qing Yang, 2002. "The Effect of Maternity Leave on Women's Pay in Germany 1984-1994," Discussion Papers of DIW Berlin 289, DIW Berlin, German Institute for Economic Research.
    7. Oskar Jost, 2022. "See you soon: fixed-term contracts, unemployment and recalls in Germany—a linked employer–employee analysis," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 49(3), pages 601-626, August.
    8. Lia Pacelli & Silvia Pasqua & Claudia Villosio, 2013. "Labor Market Penalties for Mothers in Italy," Journal of Labor Research, Springer, vol. 34(4), pages 408-432, December.
    9. Fenglian Du & Jian-chun Yang & Xiao-yuan Dong, 2007. "Why Do Women Have Longer Unemployment Durations than Men in Post-Restructuring Urban China?," Working Papers PMMA 2007-23, PEP-PMMA.
    10. Russo, Giovanni & Hassink, Wolter, 2005. "The Part-Time Wage Penalty: A Career Perspective," IZA Discussion Papers 1468, Institute of Labor Economics (IZA).
    11. Leonora Risse, 2020. "Leaning in: Is higher confidence the key to women's career advancement?," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 23(1), pages 43-77.
    12. Schafgans, Marcia M. A. & Stelcnery, Morton, 2006. "Selectivity and the gender wage gap decomposition in the presence of a joint decision process," LSE Research Online Documents on Economics 6809, London School of Economics and Political Science, LSE Library.

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