The effect of employee loyalty on wages

Oliver Masakure

Journal of Economic Psychology, 2016, vol. 56, issue C, 274-298

Abstract: In spite of a sizeable body of research linking employee loyalty to organizational performance, the causal link between employee loyalty and employee wages has rarely been examined. We use the UK’s 2011 Work and Employment Relations Survey (WERS) employee-firm matched data to estimate ordinary least squares (OLS), instrumental variables (IV) models and treatment effects models. Our results show that employee loyalty is negatively associated with wages.

Keywords: Employee loyalty; Wages; Instrumental variables (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:joepsy:v:56:y:2016:i:c:p:274-298

DOI: 10.1016/j.joep.2016.08.003

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