Characteristics of Low-Wage Workers and Their Labor Market Experiences: Evidence from the Mid- to Late 1990s. Table D.6. Multivariate Analysis Findings On The Percentage of Low-Wage Workers Switching To A Medium- Or High-Wage Job

04/30/2004

Table D.6.
Multivariate Analysis Findings On The Percentage Of Low-Wage Workers Switching
To A Medium- Or High-Wage Job And The Percentage Of Low-Wage Workers
Experiencing At Least A 50 Percent Increase In Wages By The
End Of The Followup Period, By Gender
Explanatory Variable Regression-Adjusted Means for Models with Demographic
and Other Denoted Explanatory Variables
Switched to Medium or High-Wage Job Experienced 50 Percent Increase in Wages
Males Females Males Females
Individual Characteristics
Age
В В В Younger than 20(a) 39 39 19 23
В В В 20 to 29 58** 43 27 19
В В В 30 to 39 58** 43 25 20
В В В 40 to 49 52 32 25 18
В В В 50 or older 34 38 32 32
Race/Ethnicity
В В В White and other non-Hispanic(a) 55 41 25 20
В В В Black, non-Hispanic 43* 38 29 25
В В В Hispanic 49 39 27 17
Educational Attainment
В В В Less than high school/GED(a) 47 34 18 15
В В В High school/GED 51 36 23 17
В В В Some college 61* 48** 32* 27*
В В В College graduate or more 58 47* 38** 26
Has a Health Limitation
В В В No(a) 53 40 26 20
В В В Yes 51 41 21 28
Household Characteristics
Household Type
В В В Single adults with children(a) 61 41 27 23
В В В Married couples with children 55 41 28 24
В В В Married couples without children 49 30* 21 14*
В В В Other adults without children 50 50 26 19
Household Income as a Percentage of the Federal Poverty Level
В В В 100 percent or less(a) 55 43 34 17
В В В 101 to 200 percent 49 36 24* 18
В В В More than 200 percent 54 42 24 23
Received Public Assistance in the Past Year
В В В No(a) 54 41 27 20
В В В Yes 45 39 18* 21
Area Characteristics
Region of Residence
В В В Northeast(a) 56 37 29 21
В В В South 53 43 26 27
В В В Midwest 50 39 16** 20
В В В West 53 42 33 13
Lives in a Metropolitan Area
В В В No 46 35 16 17
В В В Yes 56* 43* 30** 22
20th Percentile of the Weekly Wage Distribution in State
В В В $250 or less(a) 51 41 22 21
В В В $251 to $269 54 44 31 23
В В В $270 or more 55 38 27 19
Percentage of State Population Residing in Metropolitan Areas
В В В 72 percent or less(a) 52 41 29 20
В В В 73 to 84 percent 60 32** 29 16
В В В 85 percent or more 47 49 20 25
Poverty Rate in State
В В В Less than 10 percent(a) 52 47 20 23
В В В 10 to 12 percent 59 45 31 20
В В В More than 12 percent 49 30** 26 19
Unemployment Rate in State
В В В 6 percent or less(a) 50 42 25 22
В В В More than 6 percent 61 37 27 15
Change in Unemployment Rate in State of Residence Between 1996 and 1999 (Percentage Points)
В В В -2 percentage points or less(a) 46 41 14 31
В В В -1 to -2 percentage points 51 39 28 20
В В В More than -1 percentage point 59 44 28 19
Initial Job Characteristics
Hourly Wages
В В В Less than $5.00(a) 40 30 34 28
В В В $5.00 to $5.99 39 35 29 18**
В В В $6.00 to $6.99 62** 51** 20** 21
В В В $7.00 to $7.50 72** 52** 21** 12**
Usual Hours Worked per Week
В В В 1 to 19(a) 39 33 19 14
В В В 20 to 34 53 45** 32 24*
В В В 35 to 40 55* 40 24 20
В В В More than 40 54* 40 27 28
Has More than One Job or Business
В В В No(a) 52 39 24 19
В В В Yes 59 47 34 30*
Owns Business (Self-Employed)
В В В No(a) 51 39 25 20
В В В Yes 71** 72** 39 33
Covered by Health Insurance(b)
В В В No(a) 50 38 26 21
В В В Yes 59* 43 26 20
Union Member
В В В No(a) 53 40 26 20
В В В Yes 62 57 17 33
Occupation
В В В Professional/technical(a) 49 38 21 21
В В В Sales/retail 54 47 29 24
В В В Administrative support/clerical 64 49 36 19
В В В Service professions/handlers/cleaners 46 34 23 17
В В В Machine/construction/production/transportation 60 36 27 27
В В В Farm/agricultural/other workers 49 56 27 29
Industry
В В В Agriculture/forestry/ fishing and hunting(a) 48 15 21 8
В В В Mining/manufacturing/construction/transportation and warehousing/utilities 54 40** 29 16
В В В Wholesale/retail trade 54 43** 22 25*
В В В Services/other 52 44** 28 21
Type of Worker
В В В Continuous worker with only one employer/business 51 35 20 11
В В В Continuous worker with more than one employer/business 55 43 24 18
В В В Intermittent worker, employed less than 75% of time 36/** 37 27 23*
В В В Intermittent worker, employed 75% or more of time 59 43* 29 26**
Regression R(2) Value
Sample Size 491 693 491 693
Source: 1996 SIPP longitudinal files using the entry cohort sample of workers who started low-wage jobs within six months after the start of the panel period. All workers were followed for 42 months after job start.
Note: All figures are weighted using the 1996 calendar year weight, and standard errors account for design effects due to weighting and clustering.
a. Denotes the "left-out" explanatory variable in the regression model.
b. These figures pertain to health insurance coverage from all sources, including coverage through the employer as well as from other sources. We used this variable instead of the employer-based health insurance coverage variable, because data on overall health insurance coverage is available monthly, whereas the employer-based coverage variable pertains only to jobs in progress at the time of the interview. Thus, the employer-based health insurance variable could not always be linked to the job under investigation, which led to a significant number of missing values. However, the subsets of health insurance variables overlap considerably: the source of health insurance coverage was the employer for 80 percent of those with any coverage.
* Difference between the variable mean and the mean of the "left-out" explanatory variable is significantly different from zero at the .10 level, two-tailed test.
** Difference between the variable mean and the mean of the "left-out" explanatory variable is significantly different from zero at the .05 level, two-tailed test.

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