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Automation, decline in routine employment and share of the corporate payroll

Fondation Nationale des Sciences Politiques - PARIS - 2020

The polarization of the labour market (declining employment and wages of medium-skill occupations) and the decline in the labour income share (the share of wages in value added) are often attributed to the advent of information technology. However, available company-level data suggest that, while polarization is widespread across companies, the share of labour income has declined only in a small number of companies. In this project, we propose to study these two aspects of companies jointly to better understand whether there is any link between changes in the structure of employment and changes in the share of the wage mass in value added across companies.