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on Labour Economics |
| By: | Marina Bonaccolto-Töpfer; Claus Schnabel |
| Abstract: | Using representative data from the German Socio-Economic Panel (SOEP), this paper finds a statistically significant union wage premium in Germany of almost three percent which is not simply a collective bargaining premium. Given that the union membership fee is typically about one percent of workers’ gross wages, this finding suggests that it pays off to be a union member. Our results show that the wage premium differs substantially between various occupations and educational groups, but not between men and women. We do not find that union wage premia are higher for those occupations and workers which constitute the core of union membership. Rather, unions seem to care about disadvantaged workers and pursue a wider social agenda. |
| Keywords: | Union wage premium, collective bargaining, union membership, Germany |
| JEL: | J31 J53 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwsop:diw_sp1180&r=lab |
| By: | Philipp Jaschke (Institute for Employment Research (IAB)); Sulin Sardoschau (HU Berlin); Marco Tabellini (Harvard Business School) |
| Abstract: | This paper studies the effects of local threat on cultural and economic assimilation of refugees, exploiting plausibly exogenous variation in their allocation across German regions between 2013 and 2016. We combine novel survey data on cultural preferences and economic outcomes of refugees with corresponding information on German respondents, and construct a threat index that integrates contemporaneous and historical variables. On average, refugees assimilate both culturally and economically. However, while refugees assigned to more hostile regions converge to German culture more quickly, they do not exhibit faster economic assimilation. Our evidence suggests that refugees exert more assimilation effort in response to local threat, but that higher discrimination prevents them from integrating more quickly in more hostile regions. |
| Keywords: | refugees; cultural change; assimilation; identity; |
| JEL: | F22 J15 Z10 |
| Date: | 2023–02–10 |
| URL: | http://d.repec.org/n?u=RePEc:rco:dpaper:384&r=lab |
| By: | Bellmann, Lisa (Institute for Employment Research (IAB), Nuremberg); Bellmann, Lutz (Institute for Employment Research (IAB), Nuremberg); Hübler, Olaf (Leibniz University of Hannover) |
| Abstract: | Using 21 waves of German high-frequency establishment panel data collected during the COVID-19 crisis, we investigate the effects of short-time work (STW) and working from home (WFH) on hiring, firings, resignations and excess labour turnover (or churning). Thus, we enquire whether STW avoids firings as intended by policymakers and is associated with unintended side effects by subsidising some establishments and locking in some employees. Additionally, where it was feasible, establishments used WFH to continue working without risking an increase in COVID-19 infections and allowing employed parents to care for children attending closed schools. While much of the literature investigating the effects of STW and WFH remains descriptive, we conduct panel data analyses. We apply data and methods that allow for the dynamic pattern of STW and WFH during the pandemic. Furthermore, our data include relevant establishment-level variables, such as the existence of a works council, employee qualifications, establishment size, the degree to which the establishment was affected by the COVID-19 crisis, industry affiliation and a wave indicator for the period the survey was conducted. Our results show the important influences of STW and WFH on employment during the pandemic. By means of STW, establishments are able to avoid an increase in involuntary layoffs, and hiring decreases significantly. In contrast, WFH is associated with a rise in resignations. |
| Keywords: | short-time work, working from home, labour mobility, COVID-19, panel analysis, high-frequency establishment data |
| JEL: | C23 J21 J23 J58 J63 |
| Date: | 2023–02 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp15935&r=lab |
| By: | Braakmann, Nils (Newcastle University); Hirsch, Boris (Leuphana University Lüneburg) |
| Abstract: | We investigate to what extent workplace unionisation protects workers from external shocks as predicted by models of implicit contracts. Using the COVID-19 pandemic as a plausibly exogenous shock hitting the whole economy, we compare workers who worked in unionised and non-unionised workplaces directly before the pandemic in a difference-in-differences framework. We find that unionised workers were substantially more like to remain working for their pre-COVID employer, at their pre-COVID workplace, in their pre-COVID job and to be in employment. This greater employment stability was not traded off against lower working hours or labour income. |
| Keywords: | unions, risk-sharing, implicit contracts, insurance effects, COVID-19 |
| JEL: | J51 I18 I19 J63 |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp15893&r=lab |
| By: | Chloé Touzet |
| Abstract: | This paper takes stock of existing data and research on the gendered dimension of teleworking, to foster efficient data collection and evidence-based monitoring of the phenomenon in the future. Analysing existing data on work from home, teleworking, teleworkability and preferences for work from home highlights the need for a consistently defined teleworking concept to be used across sources. A literature review of existing results finds mixed effects of teleworking on work-life balance inequalities, on the gender wage gap, and on gender disparities in career progression. Prevailing gender norms are likely to mediate the effect of teleworking on all three outcomes and should be a focus of future research. |
| Keywords: | Gender, Gender gaps, Hybrid work, Teleworkability, Teleworking |
| JEL: | J01 J16 J22 J81 Y1 |
| Date: | 2023–02–15 |
| URL: | http://d.repec.org/n?u=RePEc:oec:elsaab:285-en&r=lab |
| By: | Ms. Sandra Marcelino; Mariana Sans |
| Abstract: | This paper studies the drivers of the labor market performance in Nicaragua with a particular focus on informality, to identify vulnerable groups during economic downturns; and estimates the speed of adjustment of employment to shocks. The paper compares this experience with the ones in other CAPDR countries (Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, and Panama). Our findings are that while the high countercyclical informality in Nicaragua has been the active margin of adjustment during economic downturns mitigating unemployment, the trade-off has been a lower speed of adjustment to shocks hampering the country’s ability to revert to its potential. Policy recommendations relate to mitigating the impact of downturns on employment in Nicaragua, easing adjustments and inequalities in the labor market to hasten the employment recovery and thus, support growth. |
| Date: | 2023–02–03 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2023/023&r=lab |
| By: | Maria Gueltzow (Max Planck Institute for Demographic Research, Rostock, Germany); Maarten J. Bijlsma (Max Planck Institute for Demographic Research, Rostock, Germany); Frank J. van Lenthe; Mikko Myrskylä (Max Planck Institute for Demographic Research, Rostock, Germany) |
| Abstract: | Background: We aim to investigate to what extent gender inequality at the labor market explains higher depression risk for older US women compared to men. Methods: We analyze data from 35, 699 US adults aged 50-80 years that participated in the Health and Retirement Study. We calculate the gender gap as the difference in the prevalence of elevated depressive symptoms (>= 3, 8-item Center for Epidemiological Studies Depression Scale) between women and men. We employ a dynamic causal decomposition and simulate the life course of a synthetic cohort from ages 50-80 with the longitudinal g-formula. We introduce four nested interventions by assigning women the same probabilities of A) being in an employment category, B) occupation class, C) current income, and D) prior income group as men, conditional on women’s health and family status until age 70. Findings: The gender gap in depression risk is 2.9%-points at ages 50-51 which increases to 7.6%-points at ages 70-71. Intervention A decreases the gender gap over ages 50-71 by 1.2%-points (95%CI for change: -2.81 to 0.4), intervention D by 1.64%-points (95%CI for change: -3.28 to -0.15) or 32% (95%CI: 1.39 to 62.83), and the effects of interventions B and C are in between those of A and D. The impact is particularly large for Hispanics and low educated groups. Interpretation: Gender inequalities at the labor market substantially explain the gender gap in depression risk in older US adults. Reducing these inequalities has the potential to narrow the gender gap in depression. |
| Keywords: | USA, gender, inequality, labor market, mental health |
| JEL: | J1 Z0 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:dem:wpaper:wp-2023-003&r=lab |
| By: | OECD |
| Abstract: | Cultural and creative sectors are a significant driver of local development both through direct job creation and income generation but also indirectly by spurring innovation across the economy. Beyond their economic impacts, they also have significant social impacts, from supporting health and well-being to promoting social inclusion and local social capital. Flanders (Belgium) has placed cultural and creative sectors as a priority in the region’s economic and social strategy. This paper provides an overview of cultural and creative sectors in Flanders, highlighting trends in employment, business dynamics, entrepreneurship and financing as well as cultural participation. It offers analysis and recommendations to support the region in continuing to build on its local cultural and creative ecosystem. |
| Keywords: | Creative industries; culture and local development; cultural employment |
| JEL: | Z1 |
| Date: | 2023–02–24 |
| URL: | http://d.repec.org/n?u=RePEc:oec:cfeaaa:2023/06-en&r=lab |
| By: | Meng Le Zhang (Department of Social Science, University of Sheffield, Sheffield, United Kingdom.); Henrik Lindegaard Andersen (Department of Economic Administrative Studies, Western Norway University of Applied Sciences, Haugesund, Norway.); henrik.lindegaard.andersen@hvl.no (Department of Economic Administrative Studies, Western Norway University of Applied Sciences, Haugesund, Norway.) |
| Abstract: | The Norwegian Introduction Programme (NIP) is a flagship social policy for integrating migrants into Norwegian society. NIP is a two-year programme of full-time education and training. As part of NIP, a special benefit (Introduksjonsstønad) is paid to attendees to incentive participation. The Introduksjonsstønad is substantial, and it increases by 50% when participants reach age 25 (from approx. €12, 860 to €19, 290). Accounting for age, we find that increasing the Introduksjonsstønad results in increased NIP participation. Despite increasing cost and participation, we do not find any evidence of increased labour market outcomes. Norway’s approach to integration is both ambitious and expensive however our early findings show that NIP may not be effective. Given the importance of integration in Norway and the role of NIP, we suggest that further research needs to be done into credible alternatives or improvements to NIP and the Introduksjonsstønad. |
| Keywords: | Conditional Cash Transfer, Migrants, Integration, Norwegian Introduction Programme, Quasi-experiment, Regression Kink Design |
| JEL: | C12 I38 J15 J18 |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:shf:wpaper:2023003&r=lab |
| By: | Coen van de Kraats (Erasmus University Rotterdam); Titus Galama (University of Southern California); Maarten Lindeboom (Vrije Universiteit Amsterdam and Monash University) |
| Abstract: | We provide evidence that the social norm (expectation) of work has a detrimental causal effect on the mental well-being of individuals not able to abide by it. Using SHARE data on men aged 50+ from 10 European countries, we identify the social norm of work effect in a difference-in-differences model that compares mental well-being scores of unemployed/disabled individuals (the treatment group) with those of employed/retired individuals (the control group) at varying levels of the fraction of retirees of comparable age. The initial mental well-being gap at age 50 is large, with unemployed/disabled men experiencing substantially lower levels of mental well-being, comparable to, e.g., the detriment of being widowed. Beyond age 50, the mental well-being of unemployed and disabled men improves as peers of comparable age retire, and full convergence occurs generally at an age that is slightly above the normal retirement age, when everyone has retired. |
| Keywords: | mental well-being, social norm of work, retirement institutions |
| JEL: | I10 I31 J60 D63 |
| Date: | 2023–02 |
| URL: | http://d.repec.org/n?u=RePEc:mhe:chemon:2023-03&r=lab |
| By: | Yinan Liu; Emma Zai (Max Planck Institute for Demographic Research, Rostock, Germany) |
| Abstract: | Medicaid aging waivers incentivize older adults who need long-term care to stay at home rather than move into a nursing facility. However, this policy may inadvertently shift care burdens onto informal caregivers. Using data on state-level waiver expenditure from 1998 to 2014 linked with the restricted access Health and Retirement Study (HRS), this paper investigates whether program funding is associated with the probability that an HRS respondent provides informal care to her older parents. Changes to state-level policy funding produce a quasi-experiment, which allows us to use two-way fixed effects models to estimate a causal relationship between the program and informal caregiving. The findings show that a 10 percent increase in aging waiver expenditure increases the overall likelihood that an adult child becomes an informal caregiver to her parents by 0.1 percentage points (0.3 percent). The overall estimate is composed of differential effects on different types of care. The results show that the Medicaid aging waiver funding is positively associated with the likelihood of being an errands caregiver and a non-intensive caregiver who spends fewer hours providing care, but unrelated to the likelihood of providing personal care and intensive care. The findings are mainly driven by the mechanism that aging-at-home is more attractive supported by the aging waivers. |
| JEL: | J1 Z0 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:dem:wpaper:wp-2023-006&r=lab |
| By: | Marie Connolly; Akakpo Domefa-Konou; Marie-Louise Leroux |
| Abstract: | Evaluating the relationship between health at old age and income is crucial for the design of equitable public policies targeted toward the elderly. Using 2016 Canadian survey data on adults aged between 50 and 70, we estimate the relationships between individual income, longevity and dependency at the old age. We use both subjective and objective measures of the probability to survive to age 85, of the probability to have activities of daily living (ADL) limitations, and of the probability of entering a nursing home. We find that income and the (objective and subjective) probability to live to age 85 and over are positively related while income and the (objective and subjective) probability to suffer from ADL limitations are negatively related. We also find that while the objective probability to enter a nursing home is negatively correlated with income, the subjective probability is positively correlated with income. Most of our results are driven by individuals in the highest tercile of the income distribution. Our results are robust to different sensitivity checks. L'évaluation de la relation entre la santé des personnes âgées et le revenu est cruciale pour la conception de politiques publiques équitables ciblées sur les personnes âgées. En utilisant les données d'une enquête canadienne de 2016 sur les adultes âgés de 50 à 70 ans, nous estimons les relations entre le revenu individuel, la longévité et la dépendance des personnes âgées. Nous utilisons des mesures subjectives et objectives de la probabilité de survivre jusqu'à 85 ans, de la probabilité d'avoir des limitations des activités de la vie quotidienne (AVQ) et de la probabilité d'entrer dans une maison de retraite. Nous constatons que le revenu et la probabilité (objective et subjective) de vivre jusqu'à 85 ans et plus sont positivement liés, tandis que le revenu et la probabilité (objective et subjective) de souffrir de limitations des activités de la vie quotidienne sont négativement liés. Nous constatons également que si la probabilité objective d'entrer dans une maison de retraite est négativement corrélée au revenu, la probabilité subjective est positivement corrélée au revenu. La plupart de nos résultats concernent les individus situés dans le tercile supérieur de la distribution des revenus. Nos résultats sont robustes à différents contrôles de sensibilité. |
| Keywords: | Long term care, Survival probability, Probability to become dependent, Nursing home, Income, Soins de longue durée, Probabilité de survie, Probabilité de devenir dépendant, Maison de retraite, Revenu |
| JEL: | C36 I10 I14 I18 J14 |
| Date: | 2023–02–09 |
| URL: | http://d.repec.org/n?u=RePEc:cir:cirwor:2023s-04&r=lab |