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Interactions of Workers and Firms in the Low-Wage Labor Market

General Information

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Evaluator(s) US Bureau of the Census
Urban Institute
Investigator(s) Harry Holzer (Urban Institute)
Frederik Andersson (US Bureau of the Census)
Julia Lane (US Bureau of the Census)
 
Domain Income Security/TANF
Status Completed (final report released)
Type Research and/or Program Evaluation
Program/Policy Description This study presents an analysis of workers who persistently have low earnings in the labor market over a period of three and or more years. Some of the these workers manage to escape from this low earning status over subsequent years, while many do not. Using data from Longitudinal Employer Household Dynamics (LEHD) program at the U.S. Census Bureau, this project analyzes the characteristics of persons and especially of their firms and jobs that enable some of them to improve earnings status over time.

The following research questions will be addressed:

1. To what extent do low wage workers experience enough earnings growth over time to "escape" their low wage or poverty status?
2. Do the processes by which workers "escape" low wage or poverty status differ across demographic characteristics?
3. How important is wage growth within jobs, as opposed to mobility across jobs and employers, for those who escape low wage status?
4. What characteristics of employers contribute the most to success in the low wage labor market, and which workers are matched to these employers? How important is the quality of that match for achieving success in the low wage labor market, as opposed to individual skills and other attributes?

These issues are critical to the development of effective welfare-to-work policies, as well as other policies for low wage workers.
Notes No notes reported.
 
Last Updated 08/11/03
Type of Summary Unreviewed
Contact(s) Frederik Andersson (not reported)
US Bureau of the Census
4700 Silver Hill Road
Submitter(s) Research Forum Staff (info@researchforum.org)
National Center for Children In Poverty
215 West 125th St, 3rd Fl
(T) (646)284-9600
(F) not reported

Populations Studied

Target Population General population
Low-income households
Employers
Subgroups Analyzed Low-wage workers
Sample Size and Unit n=121,040 random sample of individuals from the Longitudinal Employer Household Dynamics program.
Execution not applicable.

Sites Studied

CA;
FL;
IL;
MD;
NC.

Program Components, Policies, and Activities Evaluated

Employment activities

Administration/Implementation

Variation in program components across sites? No

Outcomes Assessed

Standard of living

Income security

Employment

Types of Studies

Type Descriptive/Analytical Study
 

Data Sources

Source Administrative data
 
Source Secondary data
 

Findings Available

Final Descriptive/Analytical Findings

Recommendations

Existing Publications

12/01/02 The Interactions of Workers and Firms in the Low-Wage Labor Market: Final Report Census