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Is it Easier to Escape from Low Pay in Urban Areas? Evidence from the UK

  • Euan Cartner Phimister* (Corresponding Author)
  • , Ioannis Theodossiou
  • , Richard Upward
  • , Centre for European Labour Market Research
  • *Corresponding author for this work
  • University of Nottingham
  • University of Macedonia

Research output: Working paper

Abstract

In this paper we compare periods of low pay employment between urban and rural areas in the UK. Using the British Household Panel Survey, we estimate the probability that a period of low pay employment will end allowing for a number of possible outcomes, namely to a ‘high pay’ job, self-employment, unemployment and out of the labour force. The results show that there are statistically significant differences in the dynamics of low pay across urban and rural labour markets, particularly in terms of exits to high pay and out of the labour force. After controlling for different personal and job characteristics across markets, urban low pay durations are somewhat shorter on average, with a higher probability that urban workers will move to high pay. However, the results suggest that any urban-rural differences in the typical low pay experience are particularly concentrated among certain types of individuals, e.g. young workers, women without qualifications.
Original languageEnglish
PublisherUniversity of Aberdeen: Business School
Number of pages32
Publication statusPublished - 1 Aug 2004

Publication series

NameUniversity of Aberdeen Business School Working Paper Series
PublisherUniversity of Aberdeen Business School
Volume05
ISSN (Print)0143-4543

Funding

We gratefully acknowledge the financial support of the Leverhulme Trust under grant number F/152/Y. We would also like to thank Nick Buck and Deborah Roberts for their help. All usual caveats apply.

FundersFunder number
The Leverhulme TrustF/152/Y

    UN SDGs

    This output contributes to the following UN Sustainable Development Goals (SDGs)

    1. SDG 8 - Decent Work and Economic Growth
      SDG 8 Decent Work and Economic Growth
    2. SDG 15 - Life on Land
      SDG 15 Life on Land

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