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CEF.UP - FIN Seminar/Webinar

Thursday - May 19th, 2022 at 1:00 p.m. | Room 305 | Online

"Negotiating Compensation" (access paper here)

Vladimir Vladimirov - University of Amsterdam (joint work with Florian Hoffmann)

Abstract:
"Workers can often negotiate their compensation. We develop a model showing that optimal negotiations and compensation design depend on whether capital and labor are substitutes or complements. This distinction --- closely related to whether labor is low- or high-skilled --- further affects whether workers can extract higher compensation by negotiating with fewer firms or by searching for additional job offers. It also affects whether cash constraints inflate or depress compensation when firms compete for workers. By solving for the optimal mechanism for workers to sell their labor, we further show how workers can compare different types of offers and negotiate with firms with different bargaining power."


This is a hybrid Seminar, which may be attended either in person or online. The Seminar will take place at room 305. To attend, please submit the survey no later than Wednesday 18th at 4:00 p.m. People wishing to attend online will receive the webinar link on the eve of the Seminar.


FCT

“Cef.up is financed by Portuguese public funds through FCT - Fundação para a Ciência e Tecnologia, I.P., in the framework of the project with reference UIDB/04105/2020”

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