Implementing performance pay requires that workers' output be measured. When measurement costs differ among firms, those with a measurement cost advantage choose to implement performance pay. They attract the best workers, and both the level and variability of compensation are higher at these...

Atypical employment contracts are either considered as traps that hinder permanent employment in the primary segment of the labour market or as stepping-stones leading to stable employment. Whereas the former interpretation appears to apply to Germany, our analysis of on-call contracts in the...

Implementing performance pay requires that workers' output be measured. When measurement costs differ among firms, those with a measurement cost advantage choose to implement performance pay. They attract the best workers, and both the level and variability of compensation are higher at these...