Title: Empirical analysis of civil servants wage and maintenance setting: evidence from Perm region

Authors: Ekaterina Oparina; Alisa Panenko; Anna Kalinina

Addresses: Centre for Applied Economics, NRU HSE – Perm, Perm Region, Perm, Gagarin Blvd. 37a, 214, 614060, Russia ' Centre for Applied Economics, NRU HSE – Perm, Perm Region, Perm, Gagarin Blvd. 37a, 214, 614060, Russia ' Centre for Applied Economics, NRU HSE – Perm, Perm Region, Perm, Gagarin Blvd. 37a, 214, 614060, Russia

Abstract: At a time of public expenditure cuts the issue of how public sector workers should be remunerated is of central importance. The paper presents an approach to wage and maintenance cost setting for municipal employees. Norm setting allows creating equal and fair conditions for local administrations, optimising the structure and number of municipal employees, attracting qualified personnel. To determine the best mechanism for establishing the norm, we analyse the key features of the existing methods, formulate criteria for municipalities grouping and create the formula for norm calculating. Norm setting methodology is empirically tested, based upon 2013 data for the 339 municipalities of Perm region, and policy implications of the results are discussed.

Keywords: norm setting; public service; municipal finance; public finance; municipal workers wage; wage setting; public sector labour market; Perm region.

DOI: 10.1504/IJEPEE.2018.095932

International Journal of Economic Policy in Emerging Economies, 2018 Vol.11 No.6, pp.596 - 609

Available online: 31 Oct 2018 *

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