Admission to first job and reemployment in the braziliannortheast: an analysis of wage differentials

International Journal of Development Research

Volume: 
09
Article ID: 
16823
8 pages
Research Article

Admission to first job and reemployment in the braziliannortheast: an analysis of wage differentials

Lídia Silveira Arantes, Talita Jéssica do Nascimento de Araújo and Thales de Oliveira Costa Viegas

Abstract: 

The paper aims to investigate the main determinants of wages, based on comparative analyzes between the salary of workers admitted to the first job and reemployment, in the formal labor market of the Northeast region. The guiding question is:is there a wage discrepancy between individuals who were admitted to the first job and those who were re-employed. As for the methodology, econometric techniques were applied. The present study confirmed a priori expectations that young people between the ages of 14 and 24 are the most affected by unemployment. The difficult insertion of young people into the formal labor market leads to relatively lower starting salaries for young people without professional experience. The data showed that workers with higher levels of education (higher education) receive, on average, a salary 69% higher than the illiterate worker. However, the discrepancy has declined over the past few decades.

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