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Estudios Gerenciales
versión impresa ISSN 0123-5923
Resumen
LORA, Eduardo. The more intra-firm equity, the higher employee retention: Evidence from the universe of urban firms in Colombia. estud.gerenc. [online]. 2023, vol.39, n.168, pp.327-340. Epub 30-Oct-2023. ISSN 0123-5923. https://doi.org/10.18046/j.estger.2023.168.5897.
Fairness and equity considerations may influence workers’ decision to stay or quit their jobs. This paper tests several hypotheses derived from theory on the relation between intra-firm equity and employee retention. It uses administrative data covering the universe of urban firms in Colombia between 2008 and 2016. The average wage of the firm, the intra-firm dispersion of real wage adjustments, and the share of women in the firm are significantly associated with retention rates in the directions predicted by theory. The intra-firm wage gap is directly associated with retention, at odds with theory. The results suggest that equity considerations are important in employees’ decision to stay or quit.
JEL classification:
J31; J33; J63.
Palabras clave : intra-firm equity; employee retention; personnel turnover; wage structure.