linked workerestablishment-firm dataset that covers 31 million workers in Germany. For validation, we exploit survey …We propose a novel measure for workers' financial incentives based on withinestablishment wage differences among … similar workers from the same occupation. This measure captures all forms of incentive pay that lead to workeremployer …

workers show higher sensitivity to pay inequality. These firms underperform firms with less sensitive workers. These …

collar rather than blue collar workers …