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Title: Labour market regulation and employment of unskilled workers : international comparisons
Author: Daniel, Kirsten
Awarding Body: University of Birmingham
Current Institution: University of Birmingham
Date of Award: 2001
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The study analyses personnel records over the past two decades from a sample of multinationals with matched plants in the US, UK, Italy, the Netherlands and Belgium. It examines trends in production workers' employment opportunities and the effect of labour market regulation, in particular employment protection. Labour market regulation in general - as indicated by insider power - and employment protection in particular, is expected to increase recruitment standards for permanent employees as well as to increase the use of temporary employment. The expected positive effect of employment protection on recruitment standards is found in simple correlations and regressions, but is not generally supported by the multivariate analysis once other influences are held constant. However, union density is found to increase recruitment standards, and might take over the effect of employment protection as an indicator of overall regulatory pressure. Insider power - as measured by average tenure of a plant's workforce - is found to increase the recruitment of younger, more educated, people. I also find a strong substitutability between recruits' prior experience and education. This substitutability indicates the power of education to widen job opportunities for inexperienced workers. As for temporary employment, the expected effect of employment protection and insider power on temporary employment is not confirmed in the multivariate analysis. Nevertheless there are indications that laws against temporary employment have the desired effect of driving temporary employment downwards. Since I also find that permanent and temporary hires are strong substitutes, these laws tend to drive up permanent employment. Another finding is that increased labour cost - as measured by the tax wedge - drive temporary employment down, presumably because temporary employees cannot deliver the required high productivity.
Supervisor: Not available Sponsor: Not available
Qualification Name: Thesis (Ph.D.) Qualification Level: Doctoral
EThOS ID:  DOI: Not available