Arbeitspapier

Career Interruptions and Current Earnings: The Role of Interruption Type, Compensation Component, and Gender

This study examines how career interruptions and subsequent wages of employees are related. Using individual panel data of middle managers from the German chemical sector, we are able to differentiate between different reasons for interruptions as well as between various compensation components. We show that career interruptions are more related to lower subsequent bonus payments than they are to fixed salaries and that interruptions caused by unemployment are associated with higher interruption pay gaps than those resulting from other reasons. In addition, the pay gap after career interruptions is more pronounced for male employees than it is for females.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 10713

Classification
Wirtschaft
Personnel Economics: Compensation and Compensation Methods and Their Effects
Wage Level and Structure; Wage Differentials
Compensation Packages; Payment Methods
Labor Discrimination
Subject
career interruptions
gender pay gap
stigma effects
bonus payments
fixed salaries
total compensation

Event
Geistige Schöpfung
(who)
Gerst, Benedikt
Grund, Christian
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2017

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Gerst, Benedikt
  • Grund, Christian
  • Institute of Labor Economics (IZA)

Time of origin

  • 2017

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