Public-Private Sector Wage Gap in Australia: Variation along the Distribution

Lixin Cai*, Amy Y.C. Liu

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    28 Citations (Scopus)

    Abstract

    Previous research on public-private wage differentials in Australia has focused on the mean of the conditional wage distribution. Using six waves of the Household, Income and Labour Dynamics in Australia survey, this study employs quantile regressions to examine whether the sectoral wage effect varies along the wage distribution. For females, public sector wage premiums are relatively stable for almost the entire distribution. For males, they decrease monotonically and are negative for the top half of the distribution. The decomposition results show that the observed differences in individuals and job characteristics explain a substantial proportion of the sectoral wage gap.

    Original languageEnglish
    Pages (from-to)362-390
    Number of pages29
    JournalBritish Journal of Industrial Relations
    Volume49
    Issue number2
    DOIs
    Publication statusPublished - Jun 2011

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