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Pay in M?ori-led firms

Author

Listed:
  • Fabling Richard

    (Motu Economic and Public Policy Research)

  • David Maré

    (Motu Economic and Public Policy Research)

Abstract

This study examines whether working in a M?ori-led firm contributes to the earnings of M?ori employees. It uses administrative data for 2005-2020 to identify M?ori-led firms, based on the ethnicity and descent of working proprietors, and using an improved method of measuring descent. Almost 8% of M?ori employees work in M?ori-led firms. Controlling for firm and worker characteristics, we find that M?ori-led firms have slightly lower than average multi-factor productivity and wage levels. The wage effects for M?ori of working in a M?ori-led firm are small but there is some evidence to suggest that moving between M?ori-led firms contributes to wage growth for w?hine M?ori, and that in M?ori-led firms there is stronger pass-through of firm performance to earnings levels for t?ne M?ori.

Suggested Citation

  • Fabling Richard & David Maré, 2024. "Pay in M?ori-led firms," Working Papers 24_05, Motu Economic and Public Policy Research.
    • Handle: RePEc:mtu:wpaper:24_05
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    File URL: https://motu-www.motu.org.nz/wpapers/24_05.pdf
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    earnings; productivity; M?ori; ethnicity;
    All these keywords.

    JEL classification:

    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • J42 - Labor and Demographic Economics - - Particular Labor Markets - - - Monopsony; Segmented Labor Markets

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