Table 5 Description of variables used in the theoretical framework (Section 1)

k

Hiring channel

k∈{F,N}

η _i

Worker’s bargaining power

0≤η _i ≤1

i=1,…,n

γ

Worker’s cost of effort

γ>0

$e_i^k$

Worker’s effort

$e_i^F\in \left\{0,e\right\}$,

k∈{F,N} and i=1,…,n

$e_i^N\in \left\{0,e\right\}$

[basic framework]

$e_i^N\in \left\{0,e+\delta {\phi }_{i,j}\right\}$

[extended framework]

ξ

Productivity of effort

ξ>0

ζ _i,j

Non-monetary benefit

ζ _i,j ≥0

i=1,…,n and j=1,…,m

φ _i,j

Network tightness

0<φ _i,j ≤1

i=1,…,n and j=1,…,m

δ

Cultural factor

δ∈(−∞,+∞)

[extended framework]

${\mu }_{i,j}^k$

Probability of monitoring

$0\le {\mu }_{i,j}^k\le 1$

k∈{F,N}, i=1,…,n and j=1,…,m

Ξ _j

Unit cost of monitoring

ξ _j >0

j=1,…,m

q

Probability of separation

0≤q≤1

a

Job acquisition rate

0≤a≤1

$w_{i,j}^k$

Worker’s salary

$w_{i,j}^k>0$

k∈{F,N}, i=1,…,n and j=1,…,m