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on Human Capital and Human Resource Management |
| By: | Teo Firpo (Humboldt-Universität zu Berlin); Lukas Niemann (Tanso Technologies); Anastasia Danilov (Humboldt-Universität zu Berlin) |
| Abstract: | As firms increasingly adopt Artificial Intelligence (AI) technologies, how they adjust hiring practices for skilled workers remains unclear. This paper investigates whether AI-related skills are rewarded in talent recruitment by conducting a large-scale correspondence study in the United Kingdom. We submit 1, 185 résumés to vacancies across a range of occupations, randomly assigning the presence or absence of advanced AI-related qualifications. These AI qualifications are added to résumés as voluntary signals and not explicitly requested in the job postings. We find no statistically significant effect of listing AI qualifications in résumés on interview callback rates. However, a heterogeneity analysis reveals some positive and significant effects for positions in Engineering and Marketing. These results are robust to controlling for the total number of skills listed in job ads, the degree of match between résumés and job descriptions, and the level of expertise required. In an exploratory analysis, we find stronger employer responses to AI-related skills in industries with lower exposure to AI technologies. These findings suggest that the labor market valuation of AI-related qualifications is context-dependent and shaped by sectoral innovation dynamics. |
| Keywords: | return to skills; technological change; labor market; hiring; signaling; human capital; field experiment; ai-related skills; |
| JEL: | O33 J23 J24 I26 |
| Date: | 2025–11–17 |
| URL: | https://d.repec.org/n?u=RePEc:rco:dpaper:552 |
| By: | Brüll, Eduard; Mäurer, Samuel; Rostam-Afschar, Davud |
| Abstract: | We provide experimental evidence on how employers adjust expectations to automation risk in high-skill, white-collar work. Using a randomized information intervention among tax advisors in Germany, we show that firms systematically underestimate automatability. Information provision raises risk perceptions, especially for routine-intensive roles. Yet, it leaves short-run hiring plans unchanged. Instead, updated beliefs increase productivity and financial expectations with minor wage adjustments, implying within-firm inequality like limited rent-sharing. Employers also anticipate new tasks in legal tech, compliance, and AI interaction, and report higher training and adoption intentions. |
| Keywords: | Artificial Intelligence, Automation, Technological Change, Innovation, Technology Adoption, Firm Expectations, Belief Updating, Expertise, Labor Demand, White Collar Jobs, Training |
| JEL: | J23 J24 D22 D84 O33 C93 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:zewdip:333393 |
| By: | Boyer, Marcel; Panot, Molivann |
| Abstract: | This paper reports CEO compensation data from the SEC as of December 31, 2022, for all S&P 500 firms, regrouped into 10 industries based on the Bloomberg classification. It presents the breakdown of the corresponding CEO's compensation, showing the proportion of incentive components in total amounts, as well as the variety of approaches used to establish compensation. The relative compensation of CEOs is at the heart of discussions on inequality, and whether a given CEO is worth the pay she/he is getting remains an open question. The CEO pay ratio, measured as the CEO's total compensation relative to the median comprehensive pay of a firm’s employees, is the most frequently quoted number in the popular press. For S&P 500 firms, the largest US companies by capitalization, this ratio reached an average value of 292 in 2022. While many observers focus on the CEO pay ratio, other measures may be more informative and relevant for stakeholders, including employees and shareholders. To show how much employees implicitly “contribute” to their CEO's total pay, we propose alternative ratios, such as the CEO pay per employee and the B-ratio, which measures CEO encompassing pay as a percentage of total payroll, thereby giving the employees’ contribution as a percentage of their respective pay. To assess whether such employees’ contributions are worthwhile, one must determine the value of the CEO for the organization, its workers, and stakeholders. Such value rests on the CEOs' role and the practical impact of their leadership in ensuring the company’s success, sustainability, and job security. The way questions are framed influences perceptions by the firm’s stakeholders, highlighting the need for proper analysis using appropriate metrics. |
| Date: | 2025–11 |
| URL: | https://d.repec.org/n?u=RePEc:tse:wpaper:131165 |
| By: | Bachmann, Ronald; Heinze, Inga; Klauser, Roman |
| Abstract: | Worker mobility plays a central role in facilitating structural change and addressing labour shortages in labour markets. This paper examines the incentives for workers to change jobs or occupations by analyzing subsequent gains in earnings and job satisfaction. We distinguish between different types of mobility based on changes in occupational content and complexity. The results reveal that job mobility is positively associated with both wage and job satisfaction gains. While this relationship holds across most forms of mobility, the largest improvements are observed for horizontal mobility, i.e. a change of occupational content at the same level of occupational complexity, and diagonal mobility, i.e. a change of both occupational content and complexity. Our findings indicate substantial heterogeneities across worker groups: while women who change jobs experience wage growth comparable to men, women who remain in their job exhibit lower wage growth. For workers with a migration background, mobility primarily yields monetary benefits, whereas increases in job satisfaction are smaller than for non-migrant workers. |
| Abstract: | Arbeitnehmermobilität spielt eine zentrale Rolle bei der Umsetzung des strukturellen Wandels und der Bewältigung von Fachkräfteengpässen auf den Arbeitsmärkten. Dieses Papier untersucht die Anreize für Arbeitnehmer, den Arbeitsplatz oder den Beruf zu wechseln, indem es die daraus realisierbaren Einkommens- und Arbeitszufriedenheitsgewinne analysiert. Wir unterscheiden dabei zwischen verschiedenen Arten der Mobilität, basierend auf Veränderungen im Tätigkeitsinhalt und in der Komplexität der ausgeübten Arbeit. Unsere Ergebnisse zeigen, dass berufliche Mobilität sowohl mit Einkommens- als auch mit Arbeitszufriedenheitszuwächsen positiv zusammenhängt. Während dieser Zusammenhang für die meisten Formen der Mobilität gilt, zeigen sich die größten Verbesserungen bei horizontaler Mobilität - also einem Wechsel des Tätigkeitsinhalts bei gleichbleibender Komplexität - sowie bei diagonaler Mobilität, also einem Wechsel sowohl des Tätigkeitsinhalts als auch der Komplexität. Weiterhin weisen unsere Ergebnisse auf erhebliche Unterschiede zwischen Arbeitnehmergruppen hin: Während Frauen, die den Arbeitsplatz wechseln, ein mit Männern vergleichbares Lohnwachstum erfahren, verzeichnen Frauen, die in ihrer Stelle verbleiben, ein geringeres Lohnwachstum. Bei Arbeitnehmern mit Migrationshintergrund führt Mobilität vor allem zu monetären Vorteilen, während die Zuwächse in der Arbeitszufriedenheit geringer ausfallen als bei nicht-migrantischen Arbeitnehmern. |
| Keywords: | Job mobility, occupational mobility, wage, job satisfaction, structural change |
| JEL: | J62 J31 J28 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:331882 |
| By: | Charlotte Cordes; Jana Friedrichsen; Simeon Schudy |
| Abstract: | Experimental studies show that individuals update beliefs about ego-relevant information optimistically when they expect no resolution of uncertainty but neutrally when their ability is revealed immediately. This paper studies belief updating and the role of motivated memory when feedback is delayed but eventually disclosed. In a longitudinal experiment, participants receive noisy signals about their relative performance in a IQ-related task (Raven matrices) and learn their true rank four weeks later. Across subjects, belief updating is asymmetric: unfavorable signals are weighted less than favorable signals. Further, we identify motivated memory among participants who view the task as ego-relevant. |
| Keywords: | motivated beliefs, feedback, memory, Anticipatory utility, motivated cognition, uncertainty |
| JEL: | C91 D03 D81 D83 D84 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_12286 |
| By: | Inga Laß (Melbourne Institute of Applied Economic and Social Research); Mark Wooden (Melbourne Institute of Applied Economic and Social Research) |
| Abstract: | The COVID-19 pandemic triggered a significant and long-lasting increase in the proportion of employees working from home (WFH). However, relatively little is known about the specific groups of workers that are most likely to work from home post-pandemic. This paper investigates the characteristics of employees and their employers who are WFH in post-pandemic Australia. We run logistic regression analyses based on the 2023 round of the Household, Income and Labour Dynamics in Australia (HILDA) Survey, which contains novel information on the number of full workdays worked from home. Sixteen hypotheses are proposed and tested. The results confirm strong and powerful associations between WFH full days and both occupation and industry. However, contrary to expectations, WFH is not positively associated with caring responsibilities or the presence of long-term health conditions or disabilities, and nor is WFH more common among the oldest workers. This latter set of findings is striking given the National Employment Standards identify these employee characteristics as deserving priority when employers consider requests to work from home. Overall, while worker preferences are relevant, the results suggest that it is the nature of jobs that is the main factor determining who has the option to work from home. |
| Keywords: | Working from home, flexible work, hybrid work, remote work, HILDA Survey |
| JEL: | J21 M54 |
| Date: | 2025–12 |
| URL: | https://d.repec.org/n?u=RePEc:iae:iaewps:wp2025n18 |
| By: | Bäker, Agnes; Goodall, Amanda H.; Serra‐Sastre, Victoria |
| Abstract: | The English National Health Service (NHS) is one of the largest employers in the world. It is currently suffering from high employee turnover and rising numbers of job vacancies. This article uses five waves of NHS Staff Survey data (2018–2022) to try to understand the relationship between line manager quality and staff intention to quit. It estimates pooled cross‐sections with data on close to 400, 000 individuals and approximately 130 NHS Trusts. The analysis adjusts for a wide variety of confounding variables, including hospital trust fixed effects. We also check for omitted variables and potential endogeneity. Our econometric estimates point to the important influence that line manager quality has on employees’ intentions to quit or stay. This study's novel results suggest that an increase in line manager quality by one unit (on a scale from 1 to 5) is associated with a substantial decrease in NHS employee quit intentions of 17 percentage points. |
| Keywords: | National Health Service; quit intentions; senior management; line managers |
| JEL: | J50 |
| Date: | 2025–11–21 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:130308 |
| By: | Daniel Bird; Alexander Frug |
| Abstract: | Mid- and low-level managers play a significant role within the organizational hierarchy, far beyond monitoring. It is often their responsibility to respond to opportunities and threats within their units by adjusting their subordinates’ assignments. Most such managers, however, lack the authority to adapt their subordinates’ wages. In- stead, they rely on other, more restrictive incentive schemes. We study the interaction between a front-line manager and worker, and characterize the “managerial style” as a function of the players’ relative patience and information. |
| Keywords: | front-line management , perishable incentives , asymmetric discounting |
| JEL: | D21 D82 D86 |
| Date: | 2025–11 |
| URL: | https://d.repec.org/n?u=RePEc:upf:upfgen:1929 |
| By: | Impink, Stephen Michael (HEC Paris); Langburd Wright, Nataliya (Columbia University - Columbia Business School, Management) |
| Abstract: | We examine how open source generative AI adoption affects the venture performance of high-tech software startups. Using a matched sample, we find that startups that use generative AI in open product development raise about 15% less funding, especially in competitive markets with many similar AI adopters. However, startups targeting broad markets raise roughly 30% more funding when adopting generative AI early—within six months of its release—before a dominant design emerges. These findings suggest that while early AI adoption in the open can be beneficial, widespread use may erode differentiation. Overall, these results indicate that generative AI is not a silver bullet and may even hinder fundraising when competitive advantages are easily replicated. |
| Keywords: | Generative AI; Strategy; Technological Change; Open Innovation; GitHub |
| JEL: | O30 |
| Date: | 2025–08–12 |
| URL: | https://d.repec.org/n?u=RePEc:ebg:heccah:1583 |