THE STRUCTURE OF ORGANIZATIONAL EARNINGS INEQUALITY

This article examines the organizational correlates of earnings inequa lity using data from the National Organizations Study. The authors con ceptualize earnings inequality within organizations as comprising two distinct components: within- and between-occupations earnings dispersi on. The authors test three sets of hypotheses about the determinants o f organizational earnings inequality. These are related to (a) an orga nization's context, (b) the organization's structure, and (c) the comp osition of the organization's labor force. The authors find that large r and more differentiated organizations are associated with greater in equality, but only within managerial occupations. Organizations with f irm internal labor markets have less inequality between occupations. A nd, gender heterogeneity enhances inequality between as well as within occupations.