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Title:Grime and Punishment: Insecurity and Wage Arrears in the Russian Federation PDF Logo
Authors:Lehmann, Hartmut
Wadsworth, Jonathan
Acquisti, Alessandro
Issue Date:1999
Series/Report no.:IZA Discussion paper series 65
Abstract:Using information from two complementary household survey data sets, we show that the dominant form of labor market adjustment in the Russian transition process has been the delayed receipt of wages. More than half the workforce is experiencing some form of disruption to their pay. Wage arrears are found across the private, state and budgetary sector. Workers in the metropolitan center are less affected by delayed and incomplete wage payments than workers in the provinces. There is less evidence that individual characteristics contribute much toward the incidence of wage arrears, but the persistence of arrears is concentrated on a subset of the working population. We show that workers can only exercise the exit option of a job quit from a firm not paying wages in full or on time if the outside labor market is sufficiently dynamic.
Subjects:Job security
wage arrears
Russia
transition process
JEL:P20
J30
J6
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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