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Worker-Firm Matching and the Family Pay Gap: Evidence from Linked Employer-Employee Data / Wage dispersion indicators

We ask how the gap in hourly wages between employees with family ties, and employees with no family ties, may be caused by the selection of employees in some companies. Even when employees have similar characteristics, companies pay them different wages. The study aims to see whether parents are working in one of companies that provides (remarkably) higher wages to their employees, or if on the contrary the “company” effect contributes to the total wage gap between parents and non-parents. Distinct analyses will be carried out by category. (2) A descriptive analysis of wage dispersion indicators has been presented in June 2015 in a work group (GT 3FP) conducted by the Insee Department of Employment and Income derived from Activity (DERA). The descriptive analysis requires the All-employee panel (private sector data dating back from 1967, and from 1988 for public sector data), and aims to examine the description’ sensitivity to wage inequalities according to the different dispersion indicators.