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Journal of Labor Economics Vol. 14 No. 2 1996

Promotions and Wage Growth

Kristin McCue

Abstract

This article presents evidence that internal mobility, defined as a promotion or other position change, is an important source of wage growth. It accounts for approximately 15% of wage growth over the life cycle for white and black men, but less for women. The incidence of promotions and other position changes appears tied to the wage level: better paid workers are more likely to be promoted. The life-cycle incidence of internal mobility looks similar to that for conventionally defined job mobility. Most moves are made early in the career; mobility declines both with time in position, and with experience.

DOI
10.1086/209808
Volume
14
Issue
2
Pages
175-209
Language
en
Sources
openalex crossref

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