Multinationals And Wages: Evidence From Employer–Employee Data In Serbia

Journal article


Delevic, U. and Kannel, J (2022). Multinationals And Wages: Evidence From Employer–Employee Data In Serbia. ECONOMIC ANNALS. LXVII (232). https://doi.org/10.2298/EKA2232049D
AuthorsDelevic, U. and Kannel, J
Abstract

Many studies have reported that foreign-owned companies pay higher wages on average than domestic companies. However, this can be attributed to the different composition of the workforce or to a wage premium at the individual worker level. This paper contributes to this literature by observing whether individuals that change their job from a domestic to a foreign- owned company experience a change in their wages. Furthermore, it investigates whether this difference in wage patterns is moderated by workers’ education. This paper is one of the very few micro-econometric studies that deal with this question in a transition country, Serbia, using employer- employee data on the private sector over a long time period (15 years). Changing jobs is found to be positively associated with workers’ wages: the change in wages is higher when moving from a domestic to a foreign company than vice versa. The evidence suggests that more-educated workers benefit the most from leaving domestic companies.

Year2022
JournalECONOMIC ANNALS
Economic Annals
Journal citationLXVII (232)
PublisherUniversity of Belgrade
ISSN 1820-7375
Digital Object Identifier (DOI)https://doi.org/10.2298/EKA2232049D
Web address (URL)https://doiserbia.nb.rs/img/doi/0013-3264/2022/0013-32642232049D.pdf
Publication dates
Print01 Jan 2022
Publication process dates
Deposited25 Jul 2023
Publisher's version
License
File Access Level
Open
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0013-32642232049D.pdf
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File access level: Open

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