An Analysis of Wage Differentials between Full-And Part-Time Workers in Spain

IEB Working Paper N. 2015/29

46 Pages Posted: 26 Oct 2015

See all articles by Raul Ramos

Raul Ramos

University of Barcelona - AQR; IZA Institute of Labor Economics

Esteban Sanroma

University of Barcelona

Hipolito Simon

Universidad de Alicante

Date Written: October 22, 2015

Abstract

This research examines wage differences between part-time and full-time workers using microdata from the Spanish Structure of Earnings Survey. The main contribution of the paper is related to the analysis of differences along the wage distribution using econometric decomposition methods and introducing a regional perspective. The evidence shows that part-time workers in Spain experience a significant wage disadvantage. This disadvantage is worse in the case of female workers and it is not homogenous along the wage distribution, being comparatively more relevant for the most qualified women and becoming positive for the most qualified men. However, the disadvantage is practically explained by the endowments of characteristics, with a leading role of segregation of part-time workers in low-wage firms. From a regional perspective, although in the majority of the regions wage differences tend to be explained by endowments of characteristics, there are several regions where the unexplained part of the differential is significant, particularly in the case of male workers. These regional differences seem to be related to differences in the market power of firms at the regional level.

Keywords: Part-time work, wage gap, regional differences

JEL Classification: J31, J22, J41, R23

Suggested Citation

Ramos, Raul and Sanroma, Esteban and Simon, Hipolito, An Analysis of Wage Differentials between Full-And Part-Time Workers in Spain (October 22, 2015). IEB Working Paper N. 2015/29, Available at SSRN: https://ssrn.com/abstract=2680277 or http://dx.doi.org/10.2139/ssrn.2680277

Raul Ramos

University of Barcelona - AQR ( email )

Dpt. Econometrics, Statistics and Spanish Economy
Avda. Diagonal 690
Barcelona, Barcelona 08034
Spain

HOME PAGE: http://www.raulramos.cat

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Esteban Sanroma (Contact Author)

University of Barcelona ( email )

Gran Via de les Corts Catalanes, 585
Barcelona, 08007
Spain

Hipolito Simon

Universidad de Alicante ( email )

Campus de San Vicente
Carretera San Vicente del Raspeig
San Vicente del Raspeig, Alicante 03690
Spain

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