Human Resource Management Practices and Wage Dispersion in U.S. Establishments



Table 4: Systems of Employee Involvement Practices and Wage Dispersiona, NES 1993

Specification b

I

Coef.

χ2-test

si = si~1

II

Coef.

χ2-test

si = si~1

III

Coef.

χ2-test

si = si~1

IV

Coef.

χ2-test

si = si~1

V

Coef.

χ2-test

si = si~1

Firm Technology

Workplace

Stock Option/ Profit Sharing

System Sq (no Employee Involvement Practices)

“No
No
No

0.605***

(0.234)

Yes

No

No

Manufacturing

0.851***

(0.226)

Yes

Yes

No

Sector

0.805***

(0.233)

Yes

Yes

No

0.807***

(0.232)

Yes

Yes

Yes

0.840***
(0.232)

System S (Meetings or Job Rotation, or Teamwork

0.650***

0.43

0.939***

1.39

0.924***

2.34

0.928***

2.37

0.971***

2.57

used as individual practices or in pairs)

(0.215)

(0.76)

(0.213)

(0.23)

(0.226)

(0.12)

(0.230)

(0.12)

(0.233)

(0.10)

System St2 (Meetings and Job Rotation and Teamwork)

0.656***

0.01

0.989***

0.68

0.938***

0.05

0.906***

0.02

0.961***

0.00

χ2-test S0 = S2
(p-value)

(0.230)

(0.91)
0.44

(0.50)

(0.229)

(0.40)
2.56
(o.ιi)

(0.242)

(0.81)
2.35
(0.12)

(0.282)

(0.88)

0.42
(0.50)

(0.284)

(0.96)
0.63
(0.41)

IC

ОТ


System S11 (S and Ft-Iines Training)

0.000
(0.073)

-0.001

(0.072)

System S2 (S2 and Ft-Iines Training)

0.046

-0.039

(0.159)

(0.158)

N=477 obs.

Non Manufacturing Sector

System S0 (No Employee Involvement Practices)

0.629***            0.478**             0.486**              0.501**

0.426

(0.239)                (0.229)                (0.231)                (0.236)

(0.276)

System ∣S∣ (Meetings or Job Rotation, or Teamwork

0.739*** 0.54      0.602*** 0.74      0.587*** 0.52      0.620***

0.61      0.554*     0.74

used as individual practices or in pairs)

(0.221)     (0.46)     (0.226)     (0.39)     (0.226)     (0.47)     (0.240)

(0.45)     (0.297)     (0.39)

Systβm S*2 ( Meetings and Job Rotation and Teamwork)

0.787*** 0.39      0.708*** 1.94      0.671***   1.28      0.794***

2.58      0.715**    2.03

(0.229)     (0.53)     (0.235)     (0.16)     (0.243)     (0.25)     (0.273)

(0.10)     (0.341)     (0.15)

χ2-test S0 = S2

0.99                   1.99                   1.35

2.68                  2.50

(p-value)

(0.31)                  (0.15)                  (0.24)

(0.10)                  (0.11)

System S11 (S and Ft-Iines Training)

-0.010

-0.017

(0.070)

(0.073)

System S2 (S2 and Ft-Iines Training)

-0.136

-0.131

(0.120)

(0.121)

N=236 obs.____________________________

a-The dependent variable is the log of the average wage ratio for managers and production workers. Standard errors computed using the White correction.
b-Includes the value of the firm’s capital stock, new equipment, labor and other costs, equipment age, industry, firm-size and union dummies.




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