Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey
We investigate the wage-setting behavior of French companies using an ad-hoc survey specifically conducted for this study. Our main results are the following. i) Wages are changed infrequently. 75% of firms change their wages once a year. Wage changes occur at regular intervals during the year an...
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| Format: | Article |
| Language: | English |
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University of Warsaw
2015-03-01
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| Series: | Journal of Banking and Financial Economics |
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| Online Access: | https://press.wz.uw.edu.pl/cgi/viewcontent.cgi?article=1088&context=jbfe |
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| _version_ | 1841564119055990784 |
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| author | Jérémi Montornès Jacques-Bernard Sauner-Leroy |
| author_facet | Jérémi Montornès Jacques-Bernard Sauner-Leroy |
| author_sort | Jérémi Montornès |
| collection | DOAJ |
| description | We investigate the wage-setting behavior of French companies using an ad-hoc survey specifically
conducted for this study. Our main results are the following. i) Wages are changed infrequently.
75% of firms change their wages once a year. Wage changes occur at regular intervals during
the year and are concentrated in January and July. ii) We find a lower degree of downward real
wage rigidity and nominal wage rigidity in France compared to the European average. iii) About
one third of companies have an internal policy to grant wage increases according to inflation.
iv) When companies are faced with adverse shocks, the latter are partially transmitted into prices.
Companies also adopt cost-cutting strategies. The wage of newly hired employees plays an
important role in this adjustment. |
| format | Article |
| id | doaj-art-a50443468f7442079aec3db061008445 |
| institution | Kabale University |
| issn | 2353-6845 |
| language | English |
| publishDate | 2015-03-01 |
| publisher | University of Warsaw |
| record_format | Article |
| series | Journal of Banking and Financial Economics |
| spelling | doaj-art-a50443468f7442079aec3db0610084452025-01-02T23:16:33ZengUniversity of WarsawJournal of Banking and Financial Economics2353-68452015-03-0120151(3)52310.7172/2353-6845.jbfe.2015.1.1Wage-setting Behavior in France: Additional Evidence from an Ad-hoc SurveyJérémi Montornès0Jacques-Bernard Sauner-Leroy1Banque de FranceIEFP, FranceWe investigate the wage-setting behavior of French companies using an ad-hoc survey specifically conducted for this study. Our main results are the following. i) Wages are changed infrequently. 75% of firms change their wages once a year. Wage changes occur at regular intervals during the year and are concentrated in January and July. ii) We find a lower degree of downward real wage rigidity and nominal wage rigidity in France compared to the European average. iii) About one third of companies have an internal policy to grant wage increases according to inflation. iv) When companies are faced with adverse shocks, the latter are partially transmitted into prices. Companies also adopt cost-cutting strategies. The wage of newly hired employees plays an important role in this adjustment.https://press.wz.uw.edu.pl/cgi/viewcontent.cgi?article=1088&context=jbfewage rigiditywage-setting behaviorsurvey data |
| spellingShingle | Jérémi Montornès Jacques-Bernard Sauner-Leroy Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey Journal of Banking and Financial Economics wage rigidity wage-setting behavior survey data |
| title | Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey |
| title_full | Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey |
| title_fullStr | Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey |
| title_full_unstemmed | Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey |
| title_short | Wage-setting Behavior in France: Additional Evidence from an Ad-hoc Survey |
| title_sort | wage setting behavior in france additional evidence from an ad hoc survey |
| topic | wage rigidity wage-setting behavior survey data |
| url | https://press.wz.uw.edu.pl/cgi/viewcontent.cgi?article=1088&context=jbfe |
| work_keys_str_mv | AT jeremimontornes wagesettingbehaviorinfranceadditionalevidencefromanadhocsurvey AT jacquesbernardsaunerleroy wagesettingbehaviorinfranceadditionalevidencefromanadhocsurvey |