Skill-specific unemployment risks: Employment protection and technological progress – A cross-national comparison

2016 ◽  
Vol 26 (5) ◽  
pp. 402-416 ◽  
Author(s):  
Jenny Bennett

This article focuses on the relationship between employment protection legislation (EPL) and skill-specific unemployment risks. As a consequence of skill-biased technological progress, low- and high-skilled workers are expected to be affected differently. Moreover, the level of technological progress should moderate the relation between EPL and skill-specific unemployment risks. The analyses are based on data from the Labour Force Survey from the year 2008 and concentrate on the civilian labour force aged between 25 and 49 years in 20 European countries. The results show that stricter EPL strengthens unemployment risks between skill groups only when the level of technological progress is very advanced. In other countries, stricter EPL is related to less inequality in unemployment risks. However, there are two sides to a coin. While stricter EPL is related to lower unemployment risks for the low skilled in most countries, it leads to higher unemployment rates for the highly skilled at the same time.

Author(s):  
Tom W.G. van der Meer

The relationships among objective macroeconomic outcomes, subjective evaluations, and political trust are widely studied. Yet, these relationships are not as straightforward as they might seem. This chapter first provides an overview of the main theoretical propositions in the literature as well as their critiques. Next, the chapter analyzes empirical analyses of the relationship between economic performance and political trust. While subjective evaluations of the economy are consistently related to political trust across the globe, the effect of objective macroeconomic performance depends on theoretical and methodological specifications. Objective performance indicators determine political trust in longitudinal rather than in cross-sectional analyses, suggesting that citizens’ historical rather than cross-national comparison of the state of their economy lies at the basis of this effect.


Author(s):  
Nikolai Stähler

SummaryEmployment protection affects labour market outcomes and hence the incentive to acquire skills. Using a matching model with two education levels in which workers decide ex-ante on their skill formation, it is shown that employment protection can raise the fraction of skilled workers. This will be the case if workers obtain a sufficiently large fraction of the rent created by skill formation. Furthermore, it will be shown that high-skilled workers face shorter unemployment duration and lower dismissal probabilities.


Author(s):  
Gilbert Cette ◽  
Jimmy Lopez ◽  
Jacques Mairesse

What is the impact of labour market regulations as measured by the OECD indicator of employment protection legislation (EPL) on capital and skill composition? Precisely, this study investigates the effects of changes in EPL on changes in four types of capital and three components of labour skill. They include construction, non-ICT, ICT, and R&D capital components on the one hand, and low-, medium-, and highly-skilled labour on the other. Our analysis is grounded on a large country–industry panel dataset of fourteen OECD countries, and eighteen manufacturing and market service industries, from 1988 to 2007. It shows that strengthening EPL lowers ICT capital and, even more severely, R&D capital relative to non-ICT and construction capital; it also brings down low-skilled relative to highly-skilled workers’ employment. These results suggest that structural reforms for more labour flexibility could have a favourable impact on firms’ R&D investment and hiring of low-skilled workers.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nanna Gillberg ◽  
Ewa Wikström

PurposeThis study was undertaken in order to show how talent management (TM) was performed in practice in a multinational organization as well as how the TM practices affected both different groups of workers and the perception of talent within the organization.Design/methodology/approachPerforming talent management was reassessed in the relationship between TM practices, view and identification of talent, attributed positioning and self-positioning of older and younger workers; retrieved from an exploratory single case study in a multinational organization, based on interviews.FindingsThe findings illustrate that despite the struggling to fill key positions with skilled workers, the studied organization adopted approaches to TM that excluded older workers' talent. First, central to performing TM was how talent was viewed and identified, and second, two types of positioning acts were important: the organizations (re)producing of talent management through attributive positioning acts on older/younger workers and older workers' self-positioning of their own talent. The two sides of performing talent management were complex and intertwined resulting in an age-based devaluation of talent at work.Practical implicationsThe study points to important issues in designing and performing TM that may be useful to HR and managers as a point of departure in the development of more inclusive approaches to TM.Originality/valueThe concept “performing talent management” was developed as an intertwined relationship between on-going positioning acts and (re)production of status, talent and age at work; recognizing preferences of what was viewed and identified as valued talent as main drivers made it possible to develop an understanding of exclusion and inclusion mechanisms in performing TM.


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