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Title: Agency Theory and Work from Home

Citation Type: Journal Article

Publication Year: 2019

DOI: 10.1111/labr.12135

Abstract: Wages for individuals working from home have converged toward, and even exceeded,those of office-workers. I argue that these changes are driven by the ability of firms to monitoremployees working from home. Using American Community Survey and Census data spanning1980–2014, I find wage differentials have shifted from a 26 per cent penalty in 1980 to a 5 per centpremium in 2014. Furthermore, I find that higher wage variance (44 per cent greater in 1980) forhome-workers disappears by 2013. Changes in variance suggest that the falling cost of monitoringemployee effort has made it less costly for firms to allow work from home. These findings supportagency theory as a driver of the changes in wages and wage structure for individuals working from home.

Url: https://onlinelibrary.wiley.com/doi/abs/10.1111/labr.12135

User Submitted?: No

Authors: White, Dustin, R

Periodical (Full): Labour

Issue: 1

Volume: 33

Pages: 1-25

Data Collections: IPUMS USA

Topics: Other, Work, Family, and Time

Countries:

IPUMS NHGIS NAPP IHIS ATUS Terrapop