Environmental and Resource Economics

, Volume 55, Issue 1, pp 107–117 | Cite as

Is Corporate Social Responsibility Associated with Lower Wages?

  • Karine NyborgEmail author
  • Tao Zhang


Firms with a reputation as socially responsible may have an important cost advantage: If workers prefer their employer to be socially responsible, equilibrium wages may be lower in such firms. We explore this hypothesis, combining Norwegian register data with data on firm reputation collected by an employer branding firm. Adjusting for a large set of background variables, we find that the firm’s social responsibility reputation is significantly associated with lower wages.


Self-regulation Wage differentials CSR 

JEL Classification

C51 D21 D64 Q56 

Supplementary material

10640_2012_9617_MOESM1_ESM.doc (200 kb)
ESM (DOC 200 kb)


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Copyright information

© Springer Science+Business Media Dordrecht 2012

Authors and Affiliations

  1. 1.Department of EconomicsUniversity of OsloOsloNorway
  2. 2.Ragnar Frisch Center for Economic ResearchOsloNorway

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