Wage level and wage growth : Large regional differences within Germany

Abstract

"Within Germany, there are large nominal wage disparities not only between Eastern and Western Germany, but also between the economically strong regions in the South and the weaker regions in the North. In addition, wages are generally higher in cities than in rural regions. Regional wage disparities can to a large part be explained by the interplay of individual characteristics of the employees like qualification and special features of the single regions like the specialization in high-tech sectors. Although between 1992 and 2012 nominal wages increased more in Eastern than in Western Germany, the convergence of the two regions has largely paused since 1996." (Author's abstract, IAB-Doku) ((en))

Cite article

Fuchs, M., Rauscher, C. & Weyh, A. (2014): Lohnhöhe und Lohnwachstum: Die regionalen Unterschiede in Deutschland sind groß. (IAB-Kurzbericht 17/2014), Nürnberg, 8 p.