TY  - RPRT
        AU  - Jirjahn, Uwe
AU  - Mohrenweiser, Jens
        TI  - Performance Pay and Applicant Screening
        PY  - 2017/Mar/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 10643
        UR  - https://www.iza.org/publications/dp10643
        AB  - Using German establishment data, we show that the relationship between intensity of performance pay and intensity of applicant screening depends on the nature of production. In establishments with increased multitasking, performance pay is positively associated with applicant screening. By contrast, in establishments without increased multitasking, performance pay is negatively associated with applicant screening. The findings fit the hypothesis that performance pay induces a positive self-sorting of employees if jobs are less multifaceted. In this case, employers with a high intensity of performance pay do not need intensive applicant screening to ensure a high quality of matches between workers and jobs. However, if jobs are more multifaceted, performance pay can entail problems of adverse self-sorting. In order to mitigate or overcome these problems, employers making intensive use of performance pay also screen applicants more intensively.
        KW  - non-managerial employees
KW  - applicant screening
KW  - self-sorting
KW  - multitasking
KW  - performance pay
KW  - managerial employees
        ER  -