Document Type
Article
Publication Date
7-1997
Abstract
Registered nurses (RNs) employed in hospitals realize a large wage advantage relative to RNs employed elsewhere. Cross-sectional estimates indicate a hospital RN wage advantage of roughly 20%. This paper examines possible sources of the hospital premium, a topic of some interest given the current shifting of medical care out of hospitals. Longitudinal analysis of Current Population Survey data for 1979-94 suggests that a third to a half of the advantage is due to unmeasured worker ability, and the authors conclude that the remainder of the advantage probably reflects compensating differentials for hospital disamenities. Supporting these conclusions is evidence that hospital RNs have higher cognitive ability and higher-quality job experience than non-hospital RNs, and indications that shift work accounts for roughly 10% of the hospital premium.
Identifier
10.1177/001979399705000401
Publisher
Cornell University Press
City
Ithaca, NY
Repository Citation
Schumacher, E.J., & Hirsch, B.T. (1997). Compensating differentials and unmeasured ability in the labor market for nurses: Why do hospitals pay more? Industrial and Labor Relations Review, 50(4), 557-579. doi: 10.1177/001979399705000401
Publication Information
Industrial and Labor Relations Review