Carroll School of Management
Fulton Hall 460E
140 Commonwealth Ave
Chestnut Hill, MA 02467
Institutional Affiliation: Boston College
NBER Working Papers and Publications
|February 2019||Paying to Program? Engineering Brand and High-Tech Wages|
with , : w25552
We test the hypothesis that IT workers accept a compensating differential to work with emerging IT systems, and that employers that invest in these systems can, in turn, capture greater value from the wages they pay. We show that much of the utility IT workers derive from these systems is from skills acquired on the job. This is principally true for younger workers at employers where skill development is encouraged, and the effects are stronger in thicker markets where workers with newer skills have more outside options. An analysis of the text in online employer reviews supports the notion that IT workers value access to interesting IT systems above most other employer attributes. These findings are important because first, they provide evidence of how worker preferences can influence cor...
Published: Prasanna Tambe & Xuan Ye & Peter Cappelli, 2020. "Paying to Program? Engineering Brand and High-Tech Wages," Management Science, vol 66(7), pages 3010-3028.