Pay incentives, intangibles, and gender wage inequality

This research focuses on the effects of incentive pay schemes (IPSs) within-establishment gender wage gap and explores whether intensity intangible capital at industry level moderates such effects. To this aim, we use establishment-level data from various waves (from 2006 to 2018) SES – Structure Earning Surveys for five largest European economies (Germany, France, Italy, Spain, UK). Data stocks (on 25 industries) are EU-KLEMS database. The analysis, which addresses potential endogeneity issues, indicates that more pervasive IPSs alleviates adjusted gap. However, inequality-attenuating effect materialises only in contexts where is low. result confirmed if replicate analysis subsamples establishments belonging industries with high/low components, but training emerges as a notable exception.