As most European countries are trying to consolidate public finances, whilst also attempting to improve cost competitiveness for external rebalancing and abate unemployment, it is crucial to assess government wage formation, its outcomes and interaction with private sector labour costs. This paper provides an overview of government wage setting regimes, an empirical analysis of the public wage premium and a dynamic analysis of the interlinkages between government and private sector wages along both the long- and short-run.
|KC-AH-14-190-EN-N (online)||KC-AH-14-190-EN-C (print)|
|ISBN 9978-92-79-35374-1 (online)||ISBN 978-92-79-36117-3 (print)|
|doi:10.2765/74713 (online)||doi:10.2765/77891 (print)|
Occasional Papers are written by the staff of the Directorate-General for Economic and Financial Affairs, or by experts working in association with them. The Papers are intended to increase awareness of the technical work being done by staff and cover a wide spectrum of subjects. Views expressed in unofficial documents do not necessarily reflect the official views of the European Commission.