Public-private sector wage differentials in Spain. An updated picture in the midst of the Great Recession

José Ignacio Antón and Rafael Muñoz de Bustillo

MPRA Paper from University Library of Munich, Germany

Abstract: Using the recent Wage Structure Survey 2010, this article examines the public-private sector wage gaps in Spain across the whole earnings distribution and the incidence of the gender gap in both sectors of the economy. Firstly, we find that that there is positive wage premium to public sector employment which is not fully explained by employees’ observable characteristics. Furthermore, this premium concentrates on low-skilled workers, while high-skilled individuals in the public sector suffer a pay penalty. Secondly, the gender gap is substantially larger in the private sector. Lastly, we analyse what happens in some specific activities, Education and Human health and social work, where both public and private sector coexist to a large extent. We discuss several explanations for these findings, coherent with international evidence, and the possible implications of the current process of downsizing of public sector employment associated to austerity measures.

Keywords: wage gap; public sector; gender gap; quantile regression (search for similar items in EconPapers)
JEL-codes: C21 J16 J31 J45 (search for similar items in EconPapers)
Date: 2013-08-06
New Economics Papers: this item is included in nep-eur
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https://mpra.ub.uni-muenchen.de/48897/1/MPRA_paper_48897.pdf original version (application/pdf)
https://mpra.ub.uni-muenchen.de/48956/1/MPRA_paper_48897.pdf revised version (application/pdf)
https://mpra.ub.uni-muenchen.de/48986/8/MPRA_paper_48986.pdf revised version (application/pdf)

Related works:
Working Paper: Public-Private Sector Wage Differentials in Spain. An Updated Picture in the Midst of the Great Recession (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:48897

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