Friday 06 July 2012
| Whites Have Benefited More from Pay-for-Performance Jobs |
| The rise of "pay for performance" has fueled earnings inequality in the U.S. by boosting wages at the high end of the spectrum, but a close look shows that it has had a much bigger effect on whites than blacks, say John S. Heywood of the University of Wisconsin and Daniel Parent HEC Montreal. Whites earn 31% more when they take pay-for-performance jobs, but the differential for blacks is only 12%. The reasons may have to do with high-wage blacks' apparent preference for government jobs, which are less reliant on bonuses, the researchers suggest. |
| Source: Performance Pay and the White-Black Wage Gap |
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