abstract: 'Purpose - Up to date, it remains an unresolved issue how firms shape

  inequality in interaction with mechanisms of stratification at the

  individual and occupational-level. Accordingly, the authors ask whether

  workers of different occupational classes are affected to different

  degrees by between-firm wage inequality. In light of the recent rise of

  overall wage inequality, answers to this question can contribute to a

  better understanding of the role firms play in this development. The

  authors argue and empirically test that whether workers are able to

  benefit from firms'' internal or external strategies for flexibility

  depends on resources available at the individual and occupational level.

  The paper aims to discuss these issues.

  Design/methodology/approach - Matched employer-employee data from

  official German labour market statistics are used to estimate

  firm-specific wage components, which are then regressed on structural

  characteristics of firms.

  Findings - Between-firm wage effects of internal labour markets are

  largest among unskilled workers and strongly pronounced among qualified

  manual workers. Effects are clearly smaller among classes of qualified

  and high-qualified non-manual workers but have risen sharply for the

  latter class from 2005 to 2010.

  Social implications - The most disadvantaged workers in the labour

  market are also most contingent upon employers'' increasingly

  heterogeneous policies of recruitment and remuneration.

  Originality/value - This paper combines insights from sociological and

  economic labour market research in order to formulate and test the new

  hypothesis that between-firm wage effects of internal labour markets are

  larger for unskilled than for qualified workers.'
affiliation: 'Lengfeld, H (Corresponding Author), Univ Leipzig, Dept Social Sci \&
  Philosophy, D-04109 Leipzig, Germany.

  Lengfeld, Holger, Univ Leipzig, Dept Social Sci \& Philosophy, D-04109 Leipzig,
  Germany.

  Ohlert, Clemens, Univ Hamburg, Dept Socioecon, Hamburg, Germany.'
author: Lengfeld, Holger and Ohlert, Clemens
author-email: holger.lengfeld@uni-leipzig.de
author_list:
- family: Lengfeld
  given: Holger
- family: Ohlert
  given: Clemens
da: '2023-09-28'
doi: 10.1108/IJM-01-2014-0033
eissn: 1758-6577
files: []
issn: 0143-7720
journal: INTERNATIONAL JOURNAL OF MANPOWER
keywords: 'Germany; Social inequality; Internal labour markets; Labour turnover;

  Occupational class; Pay policies'
keywords-plus: HIGH WAGE WORKERS; INEQUALITY; EMPLOYMENT; INCOME; FIRMS; JOBS
language: English
number: 6, SI
number-of-cited-references: '48'
pages: 874-894
papis_id: 2fdb7e007d41848723e48f2a5c05236e
ref: Lengfeld2015dointernal
times-cited: '2'
title: Do internal labour markets protect the unskilled from low payment? Evidence
  from Germany
type: article
unique-id: WOS:000366563300005
usage-count-last-180-days: '0'
usage-count-since-2013: '9'
volume: '36'
web-of-science-categories: Industrial Relations \& Labor; Management
year: '2015'