Promotion signaling, gender, and turnover: New theory and evidence

•We extend promotion signaling theory to incorporate gender and across-firm mobility.•We find evidence of the signaling role of promotion for some groups.•We find evidence that women are less “Visible” than men in the labor market. We extend promotion signaling theory to incorporate gender and acros...

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Veröffentlicht in:Journal of economic behavior & organization 2016-06, Vol.126, A (June), p.140-166
Hauptverfasser: Cassidy, Hugh, DeVaro, Jed, Kauhanen, Antti
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container_end_page 166
container_issue June
container_start_page 140
container_title Journal of economic behavior & organization
container_volume 126, A
creator Cassidy, Hugh
DeVaro, Jed
Kauhanen, Antti
description •We extend promotion signaling theory to incorporate gender and across-firm mobility.•We find evidence of the signaling role of promotion for some groups.•We find evidence that women are less “Visible” than men in the labor market. We extend promotion signaling theory to incorporate gender and across-firm mobility (within and across job levels). Evidence from worker-firm-linked Finnish panel data supports our theory for some groups. Controlling for worker performance (inferred from performance-related pay), within-firm promotion probabilities are increasing (and wage increases from promotion are decreasing) in educational attainment for some educational groups, with results stronger for first than for subsequent promotions. Women have lower promotion probabilities than men and a greater sensitivity of promotion probability to educational attainment. Across-firm promotions are rare but bring wage increases exceeding those for internal promotions and across-firm lateral moves.
doi_str_mv 10.1016/j.jebo.2016.03.016
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identifier ISSN: 0167-2681
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source Applied Social Sciences Index & Abstracts (ASSIA); Elsevier ScienceDirect Journals
subjects Academic achievement
Beruflicher Aufstieg
Economic models
Educational attainment
Einkommenseffekt
Employee promotions
Employee turnover
Finland
Finnland
Gender
Gender differences
Gender differentiation
Geschlechtsspezifik
Informationsbeschaffung
Innerbetriebliche Mobilität
Level of education
Mobility
Occupational mobility
Panel data
Performance related pay
Promotion
Qualifikation
Sensitivity
Studies
Turnover
Wage differential
Zwischenbetriebliche Mobilität
title Promotion signaling, gender, and turnover: New theory and evidence
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