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Do Chinese State Owned Enterprises Pay Higher Wage?
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TitleDo Chinese State Owned Enterprises Pay Higher Wage?  
AuthorZhengfei Lu Xiongyuan Wang and Peng Zhang  
OrganizationGuanghua Management School of Peking University;Accounting School of Zhongnan University of Economics and Law;Guanghua Management School of Peking University 
Key WordsTransition Economy; Ownership; Wage Differentials 
AbstractAlthough ownership is found as an important determinant factor to wage in a transition economy from the individual and macro view, there is little evidence about how ownership affect wage in firm level. This paper examines the impacts of ownership to wage differentials using firm level data. Using a sample of A share listed firm from 1999 to 2009, we find an significant SOE annual wage advantage after controlling for other firm characteristics. To be more specific, the results indicate that annual wage is significantly higher for common staffs of SOEs but for not managements. Differentiating central government controlled SOEs between local government controlled SOEs, we find that both the common staffs and managements of central government controlled SOEs got the highest wage. However, while common staffs of local government controlled SOEs get wage advantage over that of NSOEs, managements of local government controlled SOEs do not. Our findings are useful in explaining how ownership affects wage differentials in a transition economy, and will enrich the wage theory research. 
Serial NumberWP171 
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