Collective bargaining and the evolution of wage inequality in Italy

"In this paper we study the evolution of the Italian wage inequality, and of its determinants, using two decades of matched employer-employee data covering the entire population of private-sector workers and firms in the Veneto region. We find that wage inequality has increased since the mid-19...

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Main Authors: Devicienti, Francesco, Fanfani, Bernardo, Maida, Agata
Institution:ETUI-European Trade Union Institute
Format: TEXT
Language:English
Published: Bonn 2016
IZA
Subjects:
Online Access:https://www.labourline.org/KENTIKA-021712484999-Collective-bargaining-and-the-.htm
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author Devicienti, Francesco
Fanfani, Bernardo
Maida, Agata
author_facet Devicienti, Francesco
Fanfani, Bernardo
Maida, Agata
collection Library items
description "In this paper we study the evolution of the Italian wage inequality, and of its determinants, using two decades of matched employer-employee data covering the entire population of private-sector workers and firms in the Veneto region. We find that wage inequality has increased since the mid-1980s at a relatively fast pace, and we decompose this trend by means of wage regression models that account for both worker and firm fixed effects. We show that the observed and unobserved heterogeneity of the workforce has been a major determinant of the overall wage dispersion and of its evolution. Instead, we find that the importance of the dispersion in firm-specific wage policies has declined over time. Finally, we show that the growth in wage dispersion has almost entirely occurred between job titles (livelli di inquadramento) for which a set of minimum wages is bargained at the nation-wide sectoral level. We conclude that, even in the presence of the underlying market forces, trends in wage inequality have been channelled through the rules set by the country's fairly centralized system of industrial relations."
format TEXT
geographic Italy
id 021712484999_63b67c47c4614ed09aa0c3c58dc18ec6
institution ETUI-European Trade Union Institute
is_hierarchy_id 021712484999_63b67c47c4614ed09aa0c3c58dc18ec6
is_hierarchy_title Collective bargaining and the evolution of wage inequality in Italy
language English
physical 58 p.
Digital
publishDate 2016
publisher Bonn
IZA
spellingShingle Devicienti, Francesco
Fanfani, Bernardo
Maida, Agata
collective bargaining
history
wage determination
wage differential
Collective bargaining and the evolution of wage inequality in Italy
thumbnail https://www.labourline.org/Image_prev.jpg?Archive=105877992305
title Collective bargaining and the evolution of wage inequality in Italy
topic collective bargaining
history
wage determination
wage differential
url https://www.labourline.org/KENTIKA-021712484999-Collective-bargaining-and-the-.htm