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Inhaltsbereich: Institut für Arbeitsmarkt- und Berufsforschung

    Decomposing the Large Firm Wage Premium in Germany

    24 March 2020

    We use an extensive, matched employer-employee dataset to analyze the employer-size wage relation and its contribution to wage inequality in Germany. Applying models with additive fixed eects for workers and establishments, we document that the large firm wage premium, which has risen over 25 years, has only recently started to decrease. Our estimates show that the recent decline is due to a decrease in the variation of establishment-specific wage premiums both across establishment size groups and within. This decline together with decreasing worker segregation at small firms account for an overall reversal in the trend of increasing wage dispersion.

    IAB-Discussion Paper 10/2020


    Parental leave reform and long-run earnings of mothers

    16 March 2020

    Paid parental leave schemes have been shown to increase women’s employment rates but decrease their wages in case of extended leave durations. In view of these potential trade-offs, many countries are discussing the optimal design of parental leave policies. We analyze the impact of a major parental leave reform on mothers’ long-term earnings.

    IAB-Discussion Paper 9/2020


    Labor in the Boardroom

    11 March 2020

    We estimate the effects of a mandate allocating a third of corporate board seats to workers (shared governance). We study a reform in Germany that abruptly abolished this mandate for new firm cohorts but locked it in for incumbents. Rejecting the canonical hold-up prediction – that increasing labor’s power reduces owners’ investment incentives – we find positive effects on capital formation. Shared governance does not measurably raise wages or rent sharing, nor does it lower profitability or debt capacity. It lowers outsourcing. The evidence is consistent with richer models of industrial relations whereby shared governance institutionalizes communication and repeated interactions between labor and capital.

    IAB-Discussion Paper 8/2020


    Family-friendly organizational arrangements – anything but “a fuss” (over nothing)!

    10 March 2020

    Eine Frau und ein Mann mit einer Wippe auf der Figuren einer Familie und die Worte Life und Work stehen

    In Germany, more and more companies are offering measures to improve the reconciliation of family and work. This carries benefits for companies and employees alike, because family-friendly measures help women to return to their previous employer faster and more frequently.

    The article can be found in our Magazine IAB-Forum.



    Robots Worldwide: The Impact of Automation on Employment and Trade

    09 March 2020

    The impact of robots on employment and trade is a highly discussed topic in the academic and public debates. Particularly, there are concerns that automation may threat jobs in emerging countries given the erosion of the labour cost advantage. We provide evidence on the effects of robots on worldwide employment, including emerging economies.

    IAB-Discussion Paper 7/2020


    Not coming in today - Firm productivity differentials and the epidemiology of the flu

    26 February 2020

    With more than four million cases in Germany every year, influenza and acute upper respiratory tract infectious diseases (henceforthURTI) exhibit the highest number of reported doctor consultations. Although the direct treatment costs for URTI are comparably low, the indirect economic costs, due to work absences and productivity impairments of sick workers who remain at work (presentism), are far more compelling.

    IAB-Discussion Paper 6/2020


    Professor Bernd Fitzenberger will be honoured with the German Economy Award

    20 February 2020

    Prof. Bernd Fitzenberger, Ph.D.The IAB Director Bernd Fitzenberger will be honoured with the German Economy Award of the Joachim Herz Foundation. The labour market economist will receive an award worth EUR 150,000 for the best research publication.

    Read more



    Prof. Dr. Ulrich Walwei has been appointed a member of the “Council of the Working World“

    20 February 2020

    Portrait von Dr. Ulrich WalweiIn January 2020, Hubertus Heil, Federal Minister for Labour and Social Affairs, introduced the independent “Council of the Working World”, whose task will be to regularly provide politics, businesses and the general public with information and counselling regarding the change in the working world. The IAB Vice Director Professor Ulrich Walwei is also part of the Council consisting of eleven representatives of the business and scientific community.



    Does the estimation of the propensity score by machine learning improve matching estimation? The case of Germany’s programmes for long term unemployed

    12 February 2020

    Matching-type estimators using the propensity score are the major workhorse in active labour market policy evaluation. This work investigates if machine learning algorithms for estimating the propensity score lead to more credible estimation of average treatment effects on the treated using a radius matching framework.

    IAB-Discussion Paper 5/2020


    Firm Productivity, Wages, and Sorting

    05 February 2020

    Increasing wage inequality is associated with changes in the degree of labor market sorting,
    i.e. the allocation of workers to firms. To measure sorting, we propose a new method
    which disentangles the respective contributions of worker and firm heterogeneity to wage
    inequality. Inspired by sorting theory, we infer firm productivity from estimating firm-level
    production functions, taking into account that worker ability and firm productivity may interact
    at the match level.

    IAB-Discussion Paper 4/2020



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