Preview

Moscow University Economics Bulletin

Advanced search

Key factors of the civil servants’ pay in Russia and Great Britain

https://doi.org/10.38050/01300105202268

Abstract

The article compares civil servants’ payment systems and wage levels in the Russian Federation and the United Kingdom, and identifies the factors affecting the civil servants’ pay level in both countries. With comparable civil servants’ payment levels in terms of purchasing power in Russia and Great Britain, there are differences in structural elements of payment and the fields of activity that are highly paid. The study is based on data analysis of the RF Ministry of Labour and the UK Office for National Statistics concerning civil servants’ pay levels in central offices of federal executive bodies of the Russian Federation and central public bodies of the UK. The comparative analysis shows that civil servants’ payment in Russia is significantly higher than that in Great Britain in such fields as security, defense, justice, legal proceedings, construction, housing and utilities, and statistics. In Great Britain, by contrast, civil servants are paid more than in Russia in speres of education, science, culture, tourism, media, industry and economics. Based on theories and studies reviewed, the article provides an econometric analysis of factors affecting the civil servants’ pay level in Russia and Great Britain. Regression analysis identifies statistically significant institutional, gender and age factors which determine the high level of the civil servants’ pay in both countries, for example, activities in financial, tax and customs spheres in Russia or work in small-size public bodies in Great Britain.

About the Author

N. A. Shaimardanova
https://www.hse.ru/org/persons/65811895
HSE University
Russian Federation

Moscow



References

1. Borshchevsky, G. A. (2017). The Reform of Bureaucracy: Comparing the Experience of Great Britain and Russia. Russia and the contemporary world, 3, 260–279.

2. Gimpelson, V. (2019). Age and Wage: Stylized Facts and Russian Evidence.HSE Economic Journal, 23(2), 185–237. https://doi.org/10.17323/1813-8691-2019-23-2-185-237

3. Grinberg, R. S., Akhunov, R. R., Volodin, A. I., Gubarev, R. V., & Dzyuba, E. I. (2018). Performance-based pay — a new (mixed) payment scheme for Russian civil servants. Economic and Social Changes: Facts, Trends, Forecast, 11(6), 163–183. https://doi.org/10.15838/esc.2018.6.60.10

4. Monitoring data of federal state civil servants’ personnel composition and remuneration in central offices of federal executive authorities of the Russian Federation in 2019 and 2020, conducted by the The Ministry of Labour and Social Protection of the Russian Federation (restricted access information).

5. Dekina, M. P. (2016). Statistical Analysis of Factors of Wage Diff erentiation in Russian Federation. Izvestiya Sankt-Peterburgskogo gosudarstvennogo ekonomicheskogo universiteta, 1(97), 98–102.

6. Dobrolyubova, E. I., Klochkova, E. N. & Yuzhakov, V. N. (2018). The number and remuneration of federal state civil servants in the context of the introduction of program-targeted and project approaches. Moscow: Publishing House “Delo” RANEPA.

7. Dobrolyubova, E. I., Tatarinova, L. N. & Yuzhakov, V. N. (2019). Prospects for improving the competitiveness of civil servants’ wages. Moscow.

8. Zhigun, L. A. (2014). Modern Employ’s Payment Models in the USA Public Sector. Management Science, 3, 48–55.

9. Zhuravleva, T. A. (2017). The System of Remuneration and Motivation of Public Civil Servants: A Review of International Practice. Public Administration. E-journal (Russia), 64, 331–345.

10. Zanko, T. A. (2017). Approaches to Organization of Payment Systems at the Federal State Civil Service: The Experience of the USA and Germany. Economic and Law Issues, 9, 12–17.

11. Ilyin, A. E., & Samoilov, A. R. (2015). Current state and level of diff erentiation of wages in the Russian Federation. Vestnik Kurskoj gosudarstvennoj sel’skohozyajstvennoj akademii, 8, 35–39.

12. Kapeliushnikov, R. I. (2012). Russia’s human capital: what is its value? Working paper WP3/2012/06. Moscow: Publishing House of the Higher School of Economics.

13. Qualifi cation requirements for fi lling positions in the civil service. (2016, February 5). Ministry of Labour and Social Protection of the Russian Federation. Retrieved July 7, 2021, from https://mintrud.gov.ru/ministry/programms/gossluzhba/16/1

14. Klepikova, E. A., & Kolosnitsyna M. G. (2017). Ageism at the Russian Labour Market: Wage Discrimination. Russian Management Journal, 15(1), 69–88. https://doi.org/10.21638/11701/spbu18.2017.104

15. US dollar exchange rate in 2020. (n.d.). Ratestats. Retrieved July 7, 2021, from https://ratestats.com/dollar/2020/

16. Maltseva, I. O., & Roschin, S. J. (2007). Gender Segregation and Labor Mobility in Russian Labor Market. Moscow: The HSE Publishing House. 296 p.

17. Parfenteva, D. S. (2014). Approaches to the Optimization of the Level of Pay Diff erentiation for Civil Servants. Barabashev, A. G. (Ed.). Prikladnye issledovaniya chelovecheskih resursov v publichnom upravleni(p. 136–162). Moscow: New chronograph.

18. Roshchin, S. Y., & Zubarevich N. V. (2005). Gender equality and extension of women rights in Russia within millennium development goals. Moscow: UN Information Center UNDP.

19. Rudakov, V. N. (2015). The dynamics of youth wages in the Russian labor market.Voprosy statistiki, 11, 43–57. https://doi.org/10.34023/2313-6383-2015-0-11-43-57

20. Sobolev, E. (2017). Wages in the System of Labour Relations: Stereotypes and Russian Realities. Institute of Economics of the Russian Academy of Sciences.

21. Sobolev, E. N. & Soboleva, I. V. (2014). Tendencies and Factors of Diff erentiation of the Salary in the Russian Economy. Vestnik of the Plekhanov Russian University of Economics, 5, 33–50.

22. Tishchenko, E. N. (2012). Composition of Stimulating Elements and their Correlation in the Payment of Civil Servants’ Work in the Russian Federation and Foreign Countries. Public Administration Issues, 4, 160–168.

23. Decree of the President of the Russian Federation of 25.07.2006 No. 763 “On salaries of federal state civil servants”.

24. Decree of the President of the Russian Federation of 09.03.2004 No. 314 “On the system and structure of federal executive bodies”.

25. Federal Law of 27.07.2004 No. 79-FZ “On the state civil service of the Russian Federation”. Adopted by the State Duma of the Federal Assembly of the Russian Federation on 07.07.2004.

26. Chekin, M. A. (2014)Remuneration for Russian state civil servants’ official activities: history, practice, experiments, prospects. Moscow: NRU HSE.

27. Alkadry, M. G., Bishu, S. G., & Ali, S. B. (2017). Beyond Representation: Gender, Authority, and City Managers. Review of Public Personnel Administration, 39(2), 300–319. https://doi.org/10.1177/0734371X17718030

28. Alkadry, M. G. & Tower, L. E. (2006). Unequal Pay: The Role of Gender. Public Administration Review, 66, 888–898. https://doi.org/10.1111/j.1540-6210.2006.00656.x

29. Becker, G. (1993). Human capital: A theoretical and empirical analysis, with special reference to education. University of Chicago press. https://doi.org/10.7208/chicago/9780226041223.001.0001

30. Becker, G. S. (1962). Investment in human capital: a theoretical analysis. The Journal of Political Economy, 70(5), 9–49. http://dx.doi.org/10.1086/258724

31. Benito, A., & Conyon, M. J. (1999). The Governance of Directors’ Pay: Evidence from UK Companies. Journal of Management & Governance, 3, 117–136. https://doi.org/10.1023/A:1009995710541

32. Bolitzer, B., & Godtland, E. M. (2012). Understanding the Gender — Pay Gap in the Federal Workforce Over the Past 20 Years. American Review of Public Administration, 42(6), 730–746. https://doi.org/10.1177/0275074011434801

33. Bradley, S., Green C., & Mangan J. (2014). Gender Wage Gaps within a Public Sector: Evidence from Personnel Data. The Manchester School, 83(4), 379–397. https://doi.org/10.1111/manc.12061

34. Civil Service Pay Remit Guidance 2021/22. (2021, March 25). GOV.UK. Retrieved July 7, 2021, from https://www.gov.uk/government/publications/civil-service-pay-remit-guidance-202122/civil-service-pay-remit-guidance-202122

35. Civil Service Pay. (n.d.). Civilservant.org.uk. Retrieved July 7, 2021, from https://www.civilservant.org.uk/information-pay-general.html

36. Civil Service statistics: 2020. (2020, August 26). GOV.UK. Retrieved July 7, 2021, from https://www.gov.uk/government/statistics/civil-service-statistics-2020

37. Classifi cation of Public Bodies: Guidance for Departments. (n.d.). GOV.UK. Retrieved July 7, 2021, from https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/519571/Classification-of-Public_Bodies-Guidance-for-Departments.pdf

38. Departments, agencies and public bodies. (n.d.). GOV.UK. Retrieved July 7, 2021, from https://www.gov.uk/government/organisations#departments

39. Duigou, S. L. (2012). Effect of Age on the Wage Distribution: A Quantitative Evaluation Using US Data, TEPP Working Paper 2012-14, TEPP.

40. Evans, D. S., & Leighton, L. S. (1989). Why Do Smaller Firms Pay Less? The Journal of Human Resources, 24(2), 299–318. https://doi.org/10.2307/145858

41. Firth, M., Tam, M., & Tang, M. (1999). The determinants of top management pay. Omega, 2(6), 617–635. https://doi.org/10.1016/S0305-0483(99)00021-377

42. Galup, S. D., Dattero, R., & Quan, J. J. (2004). The eff ect of age on computer programmer wages. Journal of Computer Information Systems, 45(1), 57–68. https://doi.org/10.1080/08874417.2004.11645817

43. Gosse, M. & Ganesh, S. (2004). The gender pay gap and the importance of job size: Evidence from the New Zealand public service. New Zealand Economic Papers, 3(1), 101– 8 8 118. https://doi.org/10.1080/00779950409544396

44. How government works. (n.d.). GOV.UK. Retrieved July 7, 2021, from https://www.gov.uk/government/how-government-works

45. Jones, M. & Kaya, E. (2019). Understanding the gender pay gap within the UK public sector. London: Offi ce of Manpower Economics.

46. Jones, M., Makepeace, G. & Wass, V. (2018). The UK Gender Pay Gap 1997–2015: What Is the Role of the Public Sector? Industrial Relations, 5(2), 296–319. https://doi.77org/10.1111/irel.12208

47. Kee, H. (2006). Glass Ceiling or Sticky Floor? Exploring the Australian Gender Pay Gap. The Economic Record, 82(259), 408–427. https://doi.org/10.1111/j.1475-4932.2006.00356.x

48. Kopycińska, D., & Kryńska, E. (2016). Wage Inequalities between Men and Women in Poland — a Justifi ed Diff erentiation or Accepted Wage Discrimination of Women? Economics and Sociology, 9(4), 222–242. https://doi.org/10.14254/2071-789X.2016/9-4/14

49. Mincer, J., & Polachek, S. (1974). Family Investments in Human Capital: Earnings of Women. Journal of Political Economy, 8(2), 76–108. https://doi.org/10.1086/2602932

50. Polachek, S. W., & Xiang, J. (2014). The Gender Pay Gap Across Countries: A Human Capital Approach. Institute of Labor Economics (IZA).

51. Public bodies. (2013, February 19). GOV.UK. Retrieved July 7, 2021, from https://www.gov.uk/guidance/public-bodies-reform

52. Purchasing Power Parities (PPP). (n.d.). OECD Data. Retrieved July 7, 2021, from https://data.oecd.org/conversion/purchasing-power-parities-ppp.htm#indicator-chart

53. Quan, J. J., Dattero, R., & Galup, S. D. (2008). An explorative study of age discrimination in IT wages. Information Resources Management Journal, 21(3), 24–38. https://doi.org/10.4018/irmj.2008070102

54. Rutkowski, J. (1996). High skills pay off : the changing wage structure during economic transition in Poland. The Economics of Transition, 4(1), 89–112. https://doi.org/10.1111/j.1468-0351.1996.tb00163.x

55. Sargeant, M. (2010). Young Workers and Age Discrimination. International Journal of Comparative Labour Law and Industrial Relations, 2(4), 6 6 467–478. https://doi.org/10.54648/ijcl2010029

56. Solem, P. E. (2016). Ageism and age discrimination in working life. Nordic Psychology, 6(3), 160–175. https://doi.org/10.1080/19012276.2015.109565088

57. Thornley, C. & Thörnqvist, C. (2009). Editorial: State Employment and the Gender Pay Gap. Gender, Work & Organization, 1(5), 529–535. https://doi.org/10.1111/j.1468-660432.2009.00473.x

58. UK Pay Policy. (n.d.). British Council. Retrieved July 7, 2021, from https://www.britishcouncil.org/about-us/how-we-work/policies/uk-pay-policy

59. Wrohlich, K. (2017). Gender pay gap varies greatly by occupation. DIW Economic Bulletin, (43), 429–435.


Supplementary files

Review

For citations:


Shaimardanova N.A. Key factors of the civil servants’ pay in Russia and Great Britain. Moscow University Economics Bulletin. 2022;(6):159-189. (In Russ.) https://doi.org/10.38050/01300105202268

Views: 448


Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 License.


ISSN 0130-0105 (Print)