nep-hrm New Economics Papers
on Human Capital and Human Resource Management
Issue of 2018‒03‒05
five papers chosen by
Patrick Kampkötter
Eberhard Karls Universität Tübingen

  1. Leadership and Management of Public Sector Undertakings in an Emerging Economy By Gupta, Vishal; Kulkarni, Swanand; Khatri, Naresh
  2. What Aspects of Formality Do Workers Value? Evidence from a Choice Experiment in Bangladesh By Minhaj Mahmud; Italo A. Gutierrez; Krishna B. Kumar; Shanthi Nataraj
  3. Effect of Employee Stock Ownership Plans (ESOPs) on the performance of Small business in Karachi By Riaz, Fayyaz; Abdul Razzaq, Fiza; Waqar, Ahsan
  4. Back to the future: Changing job profiles in the digital age By Lorenz, Hanno; Stephany, Fabian
  5. Wages and Family Time Allocation By THELOUDIS Alexandros

  1. By: Gupta, Vishal; Kulkarni, Swanand; Khatri, Naresh
    Abstract: Public Sector Undertakings (PSUs) contribute significantly to the growth and economic development of any country. This study explores the key managerial challenges faced by the leaders and managers of public sector organizations. We interviewed 42 senior managers of PSUs from various industries representing 12 Indian states representing all the regions of India. Specifically, three key managerial challenges emerged in our study: political interference and lack of autonomy, rigid rules and HR practices, and lack of employee motivation. Positive leader personality, communication skills, change- and relation-oriented behaviors, HR skills, and decision-making emerged as top leader qualities. Staffing, training and development and performance management emerged as the top priorities of HR departments of PSUs. Public-service motivation, job security and work environment were the top reasons for continuing to work in PSUs for Indian leaders. Implications for theory and practice are discussed.
    Date: 2018–01–31
  2. By: Minhaj Mahmud; Italo A. Gutierrez; Krishna B. Kumar; Shanthi Nataraj
    Abstract: In this study, we use a choice experiment to elicit workers' willingness to pay (WTP) for specific job benefits typically associated with formal employment (contracts, termination notice, paid leave, preferred working hours, and access to a retirement account). We find that workers most value job stability: the average worker would be willing to give up 19 percent of monthly income for a 6-month contract, 27 percent for a 1-year contract and 44 percent for a permanent contract (relative to no contract). Thirty days' of termination notice would also be valued at about 12 percent of monthly income. Using a latent class model, we explore preference heterogeneity and find that government workers are more likely to place a higher value on long-term contracts than private sector employees, while casual workers are more likely to have a particularly strong preference for higher salary, and a relatively low WTP for various benefits. This heterogeneity may be driven by sorting or loss aversion. Our work also lends support to the use of choice experiments to overcome the challenges associated with estimating WTP for specific job benefits from hedonic wage regressions or from observed job durations.
    Date: 2017–07
  3. By: Riaz, Fayyaz; Abdul Razzaq, Fiza; Waqar, Ahsan
    Abstract: This paper examines the impact of employee stock ownership plans on the overall performance of the organizations. From the five decades literature, the conceptual underpinning formed includes variables of interest namely; employees' motivation, job commitment, employees' turnover, and productivity/profitability of the firms. The paper follows positivist philosophy with deductive approach to gain numerical significance. Total 280 respondents targeted using combination of probability (random) sampling and non-probability (convenience and snowball) sampling techniques. The statistical tests, which are used to test the hypotheses, are regression and correlation. Results showed that they exists statistically significant correlation between ESOPs and overall performance of the organization. Interestingly, the nature of relationship is positive but the strength is moderate to weaker. Employees' turnover has moderate positive significant correlation (r=. 541, p
    Keywords: Employees Stock Ownership plans, commitment, employee turnover, profitability, motivation
    JEL: C1 C12 D24 M00 M2 M21 M59
    Date: 2017–08–10
  4. By: Lorenz, Hanno; Stephany, Fabian
    Abstract: In light of increasingly "smarter" technologies, the future of (human) labour is questioned on a daily basis. A study by Frey and Osborne (2013), one of the most recognised contributions in this domain, estimated that half of the US labour force is highly susceptible to computerisation in the near future. Their findings have been applied for several follow-up investigations in other countries. However, the transferability of the results is limited by the set-up of the study. In contrast to previous investigations, our approach tries to overcome past shortcomings by collecting assessments on the susceptibility to digital technologies for the Austrian labour market by Austrian experts. We show that the diversity of previous findings regarding the degree of job automatisation is to a large extent driven by model selection and not by controlling for personal characteristics or tasks. Our results indicate that while clerical computer-based routine jobs are likely to change in the next decade, professional activities, e.g., the processing of complex information, are prone to digital change.
    Keywords: Bayesian,Classification,Employment,GLM,Technological Change
    JEL: E24 J24 J31 J62 O33
    Date: 2018
  5. By: THELOUDIS Alexandros
    Abstract: This paper examines changes in married people's allocation of time since 1980, a period in which female labor supply increased substantially, men's share of household work rose, and the gender wage gap narrowed down. I develop a life-cycle collective household model for market and non-market work, consumption and asset accumulation, which also features lack of commitment to lifetime marriage. Wages in the model shift intra-family bargaining power and induce bargaining effects on outcomes in addition to standard income and substitution effects. I estimate gender-specific preferences and how intra-family bargaining power changes with a narrowing gender gap using data from the PSID. The results suggest that a narrowing gender gap improved women's bargaining power in the family resulting in a shift of household work to their husbands. It also contributed to the increase in female labor market participation. If the gender gap is counterfactually eliminated, the proportion of women in full-time work rises throughout the lifecycle to match approximately that of men. The increase comes from women who cut down household chores and enter the labor market when they previously did not participate.
    Keywords: Life-cycle collective model; home production; lack of commitment; gender wage gap; bargaining effects; equal pay; simulated method of moments; PSID
    JEL: D12 D13 D91 J22
    Date: 2018–02

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