Abstract
This paper uses information from a panel of Dutch firms to investigate the labor productivity effects of performance related pay (PRP). We find that PRP increases productivity at the firm level with 9% and employment growth with 5%.
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Open Access This is an open access article distributed under the terms of the Creative Commons Attribution Noncommercial License (https://creativecommons.org/licenses/by-nc/2.0), which permits any noncommercial use, distribution, and reproduction in any medium, provided the original author(s) and source are credited.
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Gielen, A.C., Kerkhofs, M.J.M. & van Ours, J.C. How performance related pay affects productivity and employment. J Popul Econ 23, 291–301 (2010). https://doi.org/10.1007/s00148-009-0252-9
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DOI: https://doi.org/10.1007/s00148-009-0252-9