cover image: Vacation leave, work hours and wages

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Vacation leave, work hours and wages

24 Sep 2014

Examining the factors that determine the amount of paid vacation offered and vacation used would provide information and directions to policy-makers to develop relevant strategies aiming to improve 1. By “paid vacation” we mean the vacation leave to which the employee is entitled in a year, and by “vacation used” we mean the vacation leave that is actually used. [...] Given that causality is difficult to establish on the relationship between paid vacation leave, hours worked, and wages, we focus on testing the hypotheses derived on the correlation between vacation leave and hours worked, vacations and 3 wages, and on the determinants of vacation leave. [...] Ohtake (2003), who compares the impact of the costs of job loss on the amount of vacation used in the presence and absence of unions, argues that when higher educated workers have steeper wage-tenure profiles, such workers are more likely to be confronted with a reduction in the vacation time used. [...] The target population for the workplace component of the survey is defined as the collection of all Canadian establishments who paid employees in March of the year of the survey. [...] Our measure of paid vacation leave is captured through the number of weeks of vacation entitled and the number of weeks of vacation used as in Altonji and Usui (2007).
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Authors

Fakih, Ali

Pages
35
Published in
Ottawa, Ontario

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