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Part-time wage penalties in Europe: A matter of selection or segregation?

Author

Listed:
  • Eleonora Matteazzi

    (INED and University of Paris Ouest Nanterre La Défense)

  • Ariane Pailhé

    (INED)

  • Anne Solaz

    (INED)

Abstract

Different profiles of female participation and part-time employment can be observed within Europe. The aim of this paper is to estimate whether there still exists a wage penalty for part-time workers in four European countries (i.e. Austria, Italy, Poland, and the United Kingdom) after the introduction of Council Directive 97/81/EC concerning the Framework Agreement on part-time work and aiming at eliminate any form of discrimination against part-time workers. Full-time hourly wages exceed part-time hourly wages in all countries. Several explanations can be found in literature: different characteristics of part-time and full-time workers in terms of human capital accumulation, preferences, level of union membership, etc. Also the presence of discrimination against part-time workers within firms can explain this positive wage gap. However the magnitude of these explanations may differ between countries. Using the EU-SILC for the year 2009, we study the full-time/part-time pay differential focusing on the contribution of segregation and selection in explaining the observed positive wage gap. Results show that segregation matters in explaining the full-time/part-time wage gap. We find also evidence of a significant part-time wage premium in Austria and Poland once we control for sample selection.

Suggested Citation

  • Eleonora Matteazzi & Ariane Pailhé & Anne Solaz, 2012. "Part-time wage penalties in Europe: A matter of selection or segregation?," Working Papers 250, ECINEQ, Society for the Study of Economic Inequality.
    • Handle: RePEc:inq:inqwps:ecineq2012-250
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    File URL: http://www.ecineq.org/milano/WP/ECINEQ2012-250.pdf
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    References listed on IDEAS

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    Cited by:

    1. Schneebaum, Alyssa & Rehm, Miriam & Mader, Katharina & Klopf, Patricia & Hollan, Katarina, 2014. "The Gender Wealth Gap in Europe," Department of Economics Working Paper Series 186, WU Vienna University of Economics and Business.
    2. Colella, Fabrizio, 2014. "Women's Part-Time - Full-Time Wage Differentials in Europe: an Endogenous Switching Model," MPRA Paper 55287, University Library of Munich, Germany.
    3. Jeroen Horemans, 2016. "The part-time poverty gap across Europe: How institutions affect the way part-time and full-time workers avoid poverty differently," Working Papers 1603, Herman Deleeck Centre for Social Policy, University of Antwerp.
    4. Jeroen Horemans, 2017. "Atypical Employment and In-Work Poverty: A Different Story for Part-Timers and Temporary Workers?," Working Papers 1701, Herman Deleeck Centre for Social Policy, University of Antwerp.
    5. Wolf, Elke, 2013. "The German part-time wage gap: bad news for men," VfS Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79969, Verein für Socialpolitik / German Economic Association.
    6. Francine D. Blau & Lawrence M. Kahn, 2013. "Female Labor Supply: Why is the US Falling Behind?," NBER Working Papers 18702, National Bureau of Economic Research, Inc.
    7. Eleonora Matteazzi & Ariane Pailhé & Anne Solaz, 2013. "Does Part-Time Employment Widen the Gender Wage Gap? Evidence from Twelve European Countries," Working Papers 293, ECINEQ, Society for the Study of Economic Inequality.
    8. Elke Wolf, 2014. "The German Part-Time Wage Gap: Bad News for Men," SOEPpapers on Multidisciplinary Panel Data Research 663, DIW Berlin, The German Socio-Economic Panel (SOEP).

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    More about this item

    Keywords

    work status; part-time employment; wage gap; decomposition; iscrimination. Classification-JEL: C31; J21; J22; J24; J31; J71.;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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