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Addressing the absence of hours information in linked employer-employee data

Author

Listed:
  • Richard Fabling

    (Independent Researcher)

  • David C Maré

    (Motu Economic and Public Policy Research)

Abstract

The availability of tax-based payroll data has proved a blessing to labour and business economists wishing to understand workers, their jobs and their employers. Unfortunately, administrative data do not always include key variables of interest. In the case of New Zealand, linked employer-employee data do not include any information on hours worked. We implement a set of complementary methods to patch this gap, deriving an approximate measure of full-time equivalent labour input. In addition, and more specific to the New Zealand data environment, we describe a method for identifying working proprietors using annual tax-filed information, thus providing a more complete picture of total firm labour input.

Suggested Citation

  • Richard Fabling & David C Maré, 2015. "Addressing the absence of hours information in linked employer-employee data," Working Papers 15_17, Motu Economic and Public Policy Research.
    • Handle: RePEc:mtu:wpaper:15_17
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    File URL: https://motu-www.motu.org.nz/wpapers/15_17.pdf
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    References listed on IDEAS

    as
    1. Maré, David C. & Sanderson, Lynda & Fabling, Richard, 2014. "Earnings and Employment in Foreign-Owned Firms," IZA Discussion Papers 8541, Institute of Labor Economics (IZA).
    2. David C. Maré & Dean R. Hyslop & Richard Fabling, 2017. "Firm productivity growth and skill," New Zealand Economic Papers, Taylor & Francis Journals, vol. 51(3), pages 302-326, September.
    3. Maré, David C. & Fabling, Richard, 2013. "The Incidence and Persistence of Cyclical Job Loss in New Zealand," IZA Discussion Papers 7745, Institute of Labor Economics (IZA).
    4. Richard Fabling, 2011. "Keeping it Together: Tracking Firms on New Zealand’s Longitudinal Business Database," Working Papers 11_01, Motu Economic and Public Policy Research.
    5. Richard Fabling & Lynda Sanderson, 2014. "Productivity distributions in New Zealand: The dangers of international comparison," Working Papers 14_16, Motu Economic and Public Policy Research.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Linked employer-employee tax data; measuring labour input; full-time equivalent; working proprietors;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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