TY  - RPRT
        AU  - Kampkötter, Patrick
AU  - Sliwka, Dirk
        TI  - Wage Premia for Newly Hired Employees: Theory and Evidence
        PY  - 2011/Feb/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 5538
        UR  - https://www.iza.org/index.php/publications/dp5538
        AB  - We investigate wage differences between newly hired and incumbent employees. We show in a formal model that when employees care for wages as well as match-specific utility, incumbents earn less than new recruits if and only if firm-specific human capital is not too important. The existence and structure of these wage premia is then investigated empirically using detailed personnel data from a large number of banks. We find that, on average, new hires earn more than comparable incumbent colleagues on the same job. But the size of the wage premia varies between jobs and indeed strongly depends on a measure of human capital specificity.
        KW  - job mobility
KW  - wage premia
KW  - human capital
KW  - new hires
KW  - wages
        ER  -