Recent changes in British wage inequality: Evidence from firms and occupations

Daniel Schaefer, Carl Singleton

Research output: Contribution to conferencePaper

Abstract

Using a linked employer-employee dataset, we study the increasing trend in British wage inequality over the past two decades. The dispersion of wages within firms accounts for the majority of changes to wage variance. Approximately all of the contribution to inequality dynamics from firm-specific factors are absorbed by controlling for the changing occupational content of wages. The modest trend in between-firm wage inequality is explained by a combination of changes in between-occupation inequality and the occupational composition of firms and employment. These results are robust to using weekly, hourly or annual measures of employee pay.
Original languageEnglish
Number of pages16
Publication statusPublished - 2017
EventSociety for Economic Dynamics - University of Edinburgh, Edinburgh, United Kingdom
Duration: 22 Jun 201724 Jun 2017

Conference

ConferenceSociety for Economic Dynamics
CountryUnited Kingdom
CityEdinburgh
Period22/06/1724/06/17

Keywords

  • wage inequality
  • within firm inequality
  • occupational wage premiums

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