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Job Allocation Rules and Sorting Efficiency: Experimental Outcomes in a Peter Principle Environment.

An important issue in personnel economics is the design of efficient job allocation rules. Firms often use promotions both to sort workers across jobs and to provide them with incentives. However, the Peter Principle states that employees' output tends to fall after a promotion. Lazear (2004) sugges...

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Published in:Southern Economic Journal Vol. 78; no. 3; pp. 842 - 860
Main Authors: Dickinson, David L., Villeval, Marie Claire
Format: Article
Published: Wiley-Blackwell Jan2012
Subjects:
Employee promotions
Organizational effectiveness
Organization
Wages
Management
Online Access:View this record in EBSCOhost