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Does bank fintech development increase labor income share? Evidence from Chinese enterprises
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DOI：10.1016/j.frl.2026.110610.png)
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Abstract
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• We document a U-shaped relationship between bank fintech and labor income share. • Mechanism analysis indicates that financing costs and labor skill structure serve as potential transmission channels. • This pattern is stronger for highly digitalized firms, labor-intensive firms, and firms in regions with stronger labor protection or less developed digital infrastructure. • The U-shaped association is concentrated among ordinary employees rather than executives, generating an inverted U-shaped pattern in intra-firm income inequality.
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