scholarly journals Regional labour market effects of immigration on low-skilled workers: the case of Sweden 1990–2003

2021 ◽  
Vol 48 (3) ◽  
pp. 456-476
Author(s):  
Evans Korang Adjei ◽  
Lars-Fredrik Andersson ◽  
Rikard H. Eriksson ◽  
Sandro Scocco
Keyword(s):  
Labour Market ◽  
Market Competition ◽  
Wage Distribution ◽  
Skilled Workers ◽  
Real Wages ◽  
Content Type ◽  
Market Effects ◽  
Supply Shock ◽  
Native Workers ◽  
Low Educated

PurposeThe purpose of this paper is to examine the effects of immigration on the labour market outcomes of low-educated natives (i.e. residents without a university diploma). Using the labour market competition theory, which argues that the labour market effects of natives depend on the skill set of immigrants, the paper addresses whether immigrants are complementary to or substitutes for native workers.Design/methodology/approachLongitudinal matched employer–employee data on Sweden are used to estimate how low-educated natives, in regions experiencing the greatest influx of refugees from the Balkan wars, responded to this supply shock with regard to real wages, employment and job mobility between 1990 and 2003.FindingsFirst, the analysis shows that low-educated native workers respond to the arrival of immigrants with an increase in real wages. Second, although employment prospects in general worsened for low-skilled workers in most regions, this is not attributable to the regions experiencing the largest supply shock. Third, there are indications that low-skilled natives in immigration-rich regions are more likely to change workplace, particularly in combination with moving upwards in the wage distribution.Originality/valueRather than seeing an emergence of the commonly perceived displacement mechanism when an economy is subject to a supply shock, the regional findings suggest that high inflows of immigrants tend to induce a mechanism that pulls native workers upwards in the wage distribution. This is important, as the proportion of immigrants is seldom evenly distributed within a nation.

Retirees and motivation to work by the type of employment contract: impact of the Czech reform

2020 ◽  
Vol 41 (5) ◽  
pp. 595-617
Author(s):  
Filip Pertold ◽  
Lenka Lakotova
Keyword(s):  
Control Group ◽  
Retirement Age ◽  
Skilled Workers ◽  
Employment Contract ◽  
Content Type ◽  
Percentage Points ◽  
Elementary School Education ◽  
One Year ◽  
Low Educated ◽  
Motivation To Work

PurposeIn this paper, the authors analyse a 2010 legal reform in the Czech Republic, which allowed retirees to simultaneously receive regular pension benefits and to work on a permanent contract for a period longer than one year. Previously, concurrence of employment and receipt of retirement benefits were only allowed in conjunction with a temporary work contract with a maximum duration of one year.Design/methodology/approachThe authors employ the difference-in-differences method. The authors include only males in the analysis because it is not possible to identify the legal retirement age for women from available data. Men in the workforce 1–3 years prior to the statutory retirement age are in a control group, while men 1–3 years older are in a treatment group.FindingsThe authors show that the reform significantly increased the share of permanent contracts held by retirees (by 22.5–27.6 percentage points), though we do not find any aggregate short-term change in employment of retirees. Heterogeneity analysis shows a significant increase in the employment of retirees with only elementary school education (by 17.9 percentage points) and a significant decrease in the number of hours worked by retirees (by 2.5 h weekly for low-educated workers).Practical implicationsThe policy conclusion is that the regulation of employment contract does not affect aggregate employment, but may improve employment of low skilled workers.Originality/valueTo the authors’ best knowledge, there are no studies directly analysing motivation of retirees by types of employment contracts. The authors, thus, add to the literature that studies dealing with the general fixed-term versus permanent contracts (Engellandt and Riphahn, 2003) and motivation to work.

Labour market dualism drives inequality in Japan

2018 ◽  
Keyword(s):  
Income Inequality ◽  
Labour Market ◽  
Older Workers ◽  
Market Competition ◽  
Social Equality ◽  
Content Type ◽  
Income Inequalities ◽  
Post War ◽  
Rich Countries

Subject Inequality in Japan. Significance Since the early 1980s, income inequality has been rising in Japan, as in other rich countries. Wartime physical destruction and post-war financial collapse had wiped out the wealth of the richest Japanese, while 'miracle' growth raised the fortunes of most others, creating widespread economic and social equality. That egalitarian experience did not last. Recent OECD inequality comparisons place Japan in the middle of the pack. Impacts Policies to increase market competition would not only drive out weaker firms, but also reduce income inequalities. Increased automation will increase income inequality for women, non-regular workers and the low skilled. Redistribution lowers income inequality for older workers but not for others, making a case for more comprehensive reforms.

scholarly journals What to do when the robots come? Non-formal education in jobs affected by automation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sierdjan Koster ◽  
Claudia Brunori
Keyword(s):  
Labour Market ◽  
Formal Education ◽  
Labour Force ◽  
Content Type ◽  
Market Effects ◽  
Labour Market Position ◽  
Market Regimes ◽  
Multi Level ◽  
Using Data ◽  
Geographical Dimension

PurposeOngoing automation processes may render a fair share of the existing jobs redundant or change their nature. This begs the question to what extent employees affected invest in training in order to strengthen their labour market position in times of uncertainty. Given the different national labour market regimes and institutions, there may be an important geographical dimension to the opportunities to cope with the challenges set by automation. The purpose of this study is to address both issues.Design/methodology/approachUsing data from the 2016 European labour Force Survey, the authors estimate with logit and multi-level regression analyses how the automation risk of a worker's job is associated with the propensity of following non-formal education/training. The authors allow this relationship to vary across European countries.FindingsThe results show that employees in jobs vulnerable to automation invest relatively little in training. Also, there are significant differences across Europe in both the provision of training in general and the effect of automation on training provision.Originality/valueWhile there is quite a lot of research on the structural labour market effects of automation, relatively little is known about the actions that employees take to deal with the uncertainty they are faced with. This article aims to contribute to our understanding of such mechanisms underlying the structural macro-level labour-market dynamics.

Population ageing and a lack of semi-skilled workers in Switzerland

2019 ◽  
Vol 25 (1) ◽  
pp. 24-31 ◽  
Author(s):  
Raymond Saner ◽  
Lichia Yiu ◽  
Laurel Rush
Keyword(s):  
Labour Market ◽  
Design Methodology ◽  
Labour Force ◽  
Population Ageing ◽  
Skilled Workers ◽  
Public And Private ◽  
Content Type ◽  
The Public ◽  
Aging Society ◽  
Public And Private Sector

Purpose The question being discussed in this paper is how can refugees be integrated into a host country’s labour market with Switzerland serving as a case example experiencing specific local challenges, such as an aging society and gaps in the labour market, particularly relating to semi-skilled jobs in the public sector. The paper aims to discuss this issue. Design/methodology/approach This paper examines Switzerland’s intake of refugees and analyses existing refugee and labour market policies and how the integration process is being managed by the authorities and responded to by Swiss citizens. Findings The analysis shows that refugees can potentially find jobs in all three segments of the Swiss labour market (highly skilled, semi-skilled and low-skilled labour) and provide mutually beneficial solutions for all parties concerned that include: for refugees seeking employment and asylum; for the aging population requiring care delivered by low- and semi-skilled workforce; and for public and private sector enterprises in need of qualified and motivated labour force. Originality/value This paper examines the interplay between refugees seeking work and demonstrates the importance of relating job entry by refuges with actual labour market constraints and opportunities of the host country, Switzerland.

Disruptive processes and skills mismatches in the new economy

2019 ◽  
Vol 10 (3) ◽  
pp. 211-225 ◽  
Author(s):  
Wendy Cukier
Keyword(s):  
Labour Market ◽  
Social Innovation ◽  
Labour Markets ◽  
Content Type ◽  
Novel Technologies ◽  
Future Of Work ◽  
Market Effects ◽  
Disruptive Technologies ◽  
Social Innovations ◽  
The Impact

Purpose Analysts predict that disruptive technologies, such as artificial intelligence, will have a monumental impact on the world of work in the coming decades, exacerbating existing skills gaps faster than education systems can adapt. This paper aims to review research on the forecasted impact of technology on labour markets and skill demands over the near term. Furthermore, it outlines how social innovations and inclusion can be leveraged as strategies to mitigate the predicted impact of disruptive technologies. Design/methodology/approach The paper engages in an overview of relevant academic literature, policy and industry reports focussing on disruptive technologies, labour market “skills gaps” and training to identify ongoing trends and prospective solutions. Findings This paper identifies an array of predictions, made in studies and reports, about the impact of disruptive technologies on labour markets. It outlines that even conservative estimates can be expected to considerably exacerbate existing skills gaps. In turn, it identifies work-integrated learning and technology-enabled talent matching platforms as tools, which could be used to mitigate the effects of disruptive technologies on labour markets. It argues that there is a need for rigorous evaluation of innovative programmes being piloted across jurisdictions. Research limitations/implications This paper focusses on these dynamics primarily as they are playing out in Canada and similar Western countries. However, our review and conclusions are not generalizable to other regions and economies at different stages of development. Further work is needed to ascertain how disruptive technologies will affect alternative jurisdictions. Social implications While “future of work” debates typically focus on technology and deterministic narratives, this paper points out that social innovations in training and inclusive technologies could prove useful in helping societies cope with the labour market effects of disruptive technologies. Originality/value This paper provides a state-of-the-art review of the existing literature on the labour market effects of novel technologies. It contributes original insights into the future of work debates by outlining how social innovation and inclusion can be used as tools to address looming skills mismatches over the short to medium term.

Glass ceiling and sticky floors: hurdles for Mauritian working women

2015 ◽  
Vol 34 (5) ◽  
pp. 452-466 ◽  
Author(s):  
Verena Tandrayen-Ragoobur ◽  
Rajeev Pydayya
Keyword(s):  
Labour Market ◽  
Glass Ceiling ◽  
Gender Discrimination ◽  
Wage Differentials ◽  
Wage Differential ◽  
Empirical Work ◽  
Wage Distribution ◽  
Small Island ◽  
Content Type ◽  
Wage Disparities

Purpose – The purpose of this paper is to analyse the gender wage differential at different points of the wage distribution. It investigates the existence of glass ceilings and sticky floors in the Mauritian labour market. There is no previous empirical work studying gender inequality in the labour market for the small island economy of Mauritius. Design/methodology/approach – To investigate whether wage differentials are higher at the top or bottom ends of the wage distribution, the authors examine the wage disparities across different quantiles of the wage distribution. The gender wage disparities are assessed using quantile regression and decomposition techniques at the 10th, 25th, 50th, 75th and 90th quantiles. Survey data from the Continuous Multi-Purpose Household Survey from 2006 to 2013 is used. Findings – The results reveal that sticky floors are more pronounced than glass ceilings over the years. Further, for the years 2008, 2010 and 2012, it is noted that at the 75th quantiles, the gender wage differentials started to rise showing glass ceiling effects. The combination of both sticky floors and glass ceilings are characterised by the unexplained factors providing evidence for gender discrimination in the Mauritian labour market. Originality/value – This is the first study analysing the glass ceilings or sticky floors in the Mauritian labour market. Though the research is limited to Mauritius, the latter being a small island economy can serve as a case study for other island economies and also for the African continent.

Overtourism and employment outcomes for the tourism worker: impacts to labour markets

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Andreas Walmsley ◽  
Ko Koens ◽  
Claudio Milano
Keyword(s):  
Labour Market ◽  
Migrant Workers ◽  
Empirical Support ◽  
Market Model ◽  
Labour Demand ◽  
Real Wages ◽  
Demand Shock ◽  
Content Type ◽  
Economic Framework ◽  
Starting Point

Purpose This paper aims to undertake an ideal-typical analysis of the implications of overtourism on employment at the level of the destination. Design/methodology/approach The paper offers a theoretical analysis that uses as a starting point a traditional labour market model to explore the employment implications of a labour demand shock as a result of overtourism at a destination level. Although a theoretical exploration, examples are provided offering empirical support for the theoretical propositions. Findings Overtourism may lower nominal and real wages, further deepen divisions in an already divided labour market (particularly between local and migrant workers), increase productivity without its benefits accruing to the worker and result in deterioration of working conditions. The study also sets tourism employment within a broader politico-economic framework of neoliberalism. Research limitations/implications This study offers scope for further empirical testing of hypothesized relationships. It also provides a platform to adopt and adapt the theoretical propositions to suit different contexts. Originality/value This study uses overtourism as an ideal-type, combined with an analysis of the labour market to theorise the impacts of a labour demand shock.

The wage premium and market structure: theory and empirical evidence from Chilean manufacturers

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ruohan Wu ◽  
Mario Javier Miranda ◽  
Meng-Fen Yen
Keyword(s):  
Theoretical Model ◽  
Market Structure ◽  
Empirical Evidence ◽  
Market Competition ◽  
Wage Premium ◽  
Factor Endowment ◽  
Skilled Workers ◽  
Content Type ◽  
Wage Premiums ◽  
Relative Factor

PurposeThis paper aims to examine how the “wage premium,” the percentage by which wages earned by skilled workers exceed those of unskilled workers, varies across industries characterized by different levels of competitiveness.Design/methodology/approachA theoretical model employing constant elasticity of substitution (CES) utility function and constant returns to scale production function is developed and analyzed to derive the effects of industry competitiveness on the wage premium. Econometric methods are applied to Chilean manufacturing data to test implications of theoretical model.FindingsOnce the relative factor endowment is being controlled, market competition significantly reduces the wage premium. More specifically, given with the same relative factor endowment, the wage premium is significantly higher under oligopolistic competition than under monopolistic competition. Empirical evidence from Chilean manufacturers supports our theoretical conclusions.Practical implicationsDuring economic development, the reallocation of production factors from unskilled labor-intensive to skilled labor-intensive industries raises the wage premiums received by skilled workers. Besides, skilled workers will earn higher wages by working in more highly concentrated industries instead of more competitive industries. This needs to be considered by government policymakers who must balance promotion of technical change with prevention of extreme the income inequality.Originality/valueThis paper examines how market structure affects wage premiums, providing new insights into a well-established literature that largely maintains that wage premiums are primarily a function of relative factor endowments or international trade.

The Labor Market Effects of Immigration

ILR Review ◽  
1980 ◽  
Vol 33 (3) ◽  
pp. 331-341 ◽  
Author(s):  
George E. Johnson
Keyword(s):  
Labor Market ◽  
High Rate ◽  
Skilled Labor ◽  
Skilled Workers ◽  
Market Effects ◽  
Wage Rates ◽  
Long Run ◽  
Native Workers ◽  
The Impact ◽  
Distribution Of Income

This paper is a theoretical examination of the probable effects on the U.S. labor market of a continued high rate of illegal immigration. The author constructs a model to estimate the impact each additional immigrant has on the employment of the domestic population, on GNP, and on the distribution of income. The model suggests that in non-recessionary periods the most important effect of a high rate of immigration is on the wage rates of low-skilled labor rather than on the employment of low-skilled native workers, but immigration also increases the earnings of high-skilled workers and the owners of capital. In the very long run, the author concludes, this redistribution of income will be offset to some extent by increases in the supplies of skilled labor and capital.

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