Wage inequality, skill inequality, and employment: evidence and policy lessons from PIAAC

IZA Journal of European Labor Studies

Table 9 Relationship between wage inequality and labor market performance, employed persons

Employment/wage inequality	D9/D1	D9/D5	D5/D1
E-pop	−0.0049	−0.2587	0.2418
Hours worked	0.3083	0.5045^a	−0.0382
Unemployment rate	0.2307	0.3357	0.0454
E-pop, skill level 0 + 1	0.2674	0.1685	0.2407
E-pop, skill level 2	0.1263	−0.1451	0.3423
E-pop, skill level 3	0.1304	−0.2086	0.4092
E-pop, skill level 4 + 5	0.0877	−0.2269	0.3358
Hours worked, skill level 0 + 1	0.0772	0.3087	−0.2154
Hours worked, skill level 2	0.2545	0.4557	−0.0646
Hours worked, skill level 3	0.2903	0.5052^a	−0.0700
Hours worked, skill level 4 + 5	0.4029	0.5713^a	0.0411
Unemployment rate, skill level 0 + 1	0.2302	0.2940	0.1030
Unemployment rate, skill level 2	0.2364	0.3165	0.0699
Unemployment rate, skill level 3	0.1473	0.2802	−0.0268
Unemployment rate, skill level 4 + 5	−0.3019	−0.0389	−0.4536