The Structure of Pay Changes at the Local Level

Työpapereita 199 Kenneth Snellman

Abstract

In this paper the distribution of pay changes in the Finnish industry 1997–2000 across employees and plants is examined. The study supports the hypothesis that such pay measures that are more closely dependent on contracts exhibit less variation in pay. It is also shown that pay cuts and pay rises are concentrated to certain plants and to a rather large extent to the same plants.