Knockin’ on heaven’s door? Reframing the debate on temporary employment and wages: Evidence from Europe

Daniela Bellani, Giulio Bosio*, Giacomo Bosio*

*Autore corrispondente per questo lavoro

Risultato della ricerca: Contributo in rivistaArticolo in rivista

Abstract

This article reframes the debate on the consequences of flexibilization in European labour markets focusing on the unexplored impact of temporary employment on occupational wages for permanent workers. Exploiting the variation in the temps' density within occupation and age groups across European countries between 2003 and 2010, we find that temporary contracts negatively affect occupational average wages for insiders' workers. These results are still robust using a dynamic system based on generalized method of moments (GMM-SYS) to account for potential endogeneity issues. We also explore the existence of heterogeneity across different occupational clusters and institutional settings. Our estimates indicate that the knock-on effect is large in countries with low employment protection legislation and it is driven by occupations characterized by untechnical work logics.
Lingua originaleEnglish
pagine (da-a)869-907
Numero di pagine39
RivistaSocio-Economic Review
Volume19
DOI
Stato di pubblicazionePubblicato - 2021

Keywords

  • employment
  • flexibility
  • income distribution
  • labour market institutions
  • occupations
  • skills

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