Interfirm Segregation and the Black/White Wage Gap

Carrington, William J.; Troske, Kenneth R.

doi:10.1086/209888

Cited by 89 publications

(83 citation statements)

References 14 publications

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“…For example, there is ample evidence that demonstrates that black-owned businesses and establishments with African American management are considerably more likely to hire black workers (Bates 1993;Turner 1997;Carrington and Troske 1998;Raphael, Stoll, and Holzer 2000). Moreover, several studies show that urban space racially segregates racial employment and search distributions.…”

Section: Empirical Strategy and Description Of The Datamentioning

confidence: 99%

Perceived Criminality, Criminal Background Checks, and the Racial Hiring Practices of Employers

Holzer

Raphael

Stoll

2006

The Journal of Law and Economics

275

199

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In this paper, we analyze the effect of employer-initiated criminal background checks on the likelihood that employers hire African Americans. We find that employers who check criminal backgrounds are more likely to hire African American workers, especially men. This effect is stronger among those employers who report an aversion to hiring those with criminal records than among those who do not. We also find similar effects of employer aversion to ex-offenders and their tendency to check backgrounds on their willingness to hire other stigmatized workers, such as those with gaps in their employment history. These results suggest that, in the absence of criminal background checks, some employers discriminate statistically against black men and/or those with weak employment records. Such discrimination appears to contribute substantially to observed employment and earnings gaps between white and black young men.

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Section: Empirical Strategy and Description Of The Datamentioning

confidence: 99%

Perceived Criminality, Criminal Background Checks, and the Racial Hiring Practices of Employers

Holzer

Raphael

Stoll

2006

The Journal of Law and Economics

275

199

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“…Fershtman andGneezy, 2001 andAhmed, 2007). For quasi-experimental evidence of discrimination in actual recruitments, see Åslund and Skans (2007). documented correlations between manager race and the race of hires (Carrington and Troske 1998;Stoll et al 2004). To facilitate more reliable identification, a number of recent papers have relied on single firm data from high turnover firms.…”

Section: Introductionmentioning

confidence: 99%

Seeking Similarity: How Immigrants and Natives Manage in the Labor Market

Åslund

Hensvik

Skans

2014

Journal of Labor Economics

112

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E SIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author. We show that immigrant managers are substantially more likely to hire immigrants than are native managers. The finding holds when comparing establishments in the same 5-digit industry and location, when comparing different establishments within the same firm, when analyzing establishments that change management over time, and when accounting for within-establishment trends in recruitment patterns. The effects are largest for small and owner-managed establishments in the for-profit sector. Separations are more frequent when workers and managers have dissimilar origin, but only before workers become protected by EPL. We also find that native managers are unbiased in their recruitments of former coworkers, suggesting that information deficiencies are important. We find no effects on entry wages. Our findings suggest that a low frequency of immigrant managers may contribute to the observed disadvantages of immigrant workers. JEL Classification:J15, J21, J62, M51

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“…In addition to these negative social effects, workplace segregation may have negative economic consequences. For example, it may introduce high levels of income and employment inequality among social groups (Carrington & Troske 1998;Glass 1990;Granovetter 1995;Tassier & Menczer 2008). Moreover, workplace segregation may also affect the economic system as a whole through its effects on the efficiency of allocating workers to jobs (Becker 1971).…”

Section: Introductionmentioning

confidence: 99%

Modelling the emergence and dynamics of social and workplace segregation

Abdou

Gilbert

2009

Mind Soc

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Abstract.The relationship between social segregation and workplace segregation has been traditionally studied as a one-way causal relationship mediated by referral hiring. In this paper we introduce an alternative framework which describes the dynamic relationships between social segregation, workplace segregation, individuals' homophily levels, and referral hiring. An agent-based simulation model was developed based on this framework. The model describes the process of continuous change in composition of workplaces and social networks of agents, and how this process affects levels of workplace segregation and the segregation of social networks of the agents (people). It is concluded that: (1) social segregation and workplace segregation may coevolve even when hiring of workers occurs mainly through formal channels and the population is initially integrated (2) majority groups tend to be more homophilous than minority groups, and (3) referral hiring may be beneficial for minority groups when the population is highly segregated.

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Interfirm Segregation and the Black/White Wage Gap

Cited by 89 publications

References 14 publications

Perceived Criminality, Criminal Background Checks, and the Racial Hiring Practices of Employers

Perceived Criminality, Criminal Background Checks, and the Racial Hiring Practices of Employers

Seeking Similarity: How Immigrants and Natives Manage in the Labor Market

Modelling the emergence and dynamics of social and workplace segregation

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