Barth, Erling; Bratsberg, Bernt; Hægeland, Torbjørn; … - 2009
This paper examines the impact of performance-related pay on wage differentials within firms. Our theoretical framework …, while group-based bonuses have minor effects on wage dispersion. Theory also predicts an interaction between performance …-related pay and union bargaining, where union power reduces the impact of performance pay on wage dispersion. The empirical …