Executive search firms play a major role in the hiring decisions of executives, yet their impact on executive pay and firms' internal labor markets remain unexplored. In this paper, we present a model that attempts to fill this gap. The model relates the escalation of CEO pay to a decline in...

We evaluate the effects of employer-provided formal training on employee suggestions for productivity improvements and on promotions among male blue-collar workers. More than twenty years of personnel data of four entry cohorts in a German company allow us to address issues such as unobserved...

A central hypothesis of the theory of labor market segmentation is that large establishments tend to establish circumstances of employment which foster employment stability. According to this view, large employers stabilize their labor relations by instituting job ladders, grievance procedures,...

This paper develops a new method to study how workers' career and wage profiles are shaped by internal labor markets (ILM) and job hierarchies in firms. Our paper tackles the conceptual challenge of organizing jobs within firms into hierarchy levels by proposing a data-driven ranking method...