scholarly journals The impact of the COVID-19 pandemic on the employment situation and financial well-being of families with children in Austria: Evidence from the first ten months of the crisis

2021 ◽  
Author(s):  
Nadia Steiber ◽  
Christina Siegert ◽  
Stefan Vogtenhuber

Objective: This study investigates the impact of the COVID-19 pandemic on the employment situation of parents and in turn on the subjective financial well-being of families with children in Austria. Background: The pandemic had strong repercussions on the Austrian labour market. The short-time work (STW) programme covered a third of employees in the first half of 2020 and helped to maintain employment levels. We provide evidence on how an unprecedented labour market crisis of this sort and in particular the exceptionally wide use of STW had affected the (gendered) employment situation of parents and the financial well-being of different types of families. Method: The study draws on representative panel survey data that cover 905 families with underage children. The data include information on the employment situation and financial well-being of single and cohabiting parents before the onset of the crisis, three months and ten months after its onset. Results: In contrast to other countries, mothers were not more strongly affected by the labour market crisis of 2020 than childless women or fathers. About a third of couples with underage children experienced income losses. Despite the wide use of STW and government support to families, the share of families in financial difficulties has substantially increased, especially among those with many children and single parents, many of who were at risk of poverty already before the crisis. Conclusion: Substantial shares of dual-earner families that had low poverty risks before the crisis were in financial difficulties in 2020. Potential spill-over effects of financial shocks on children are discussed.

2021 ◽  
Author(s):  
Nadia Steiber ◽  
Christina Siegert ◽  
Stefan Vogtenhuber

Objective: This study investigates the impact of the COVID-19 pandemic on the employment situation of parents and in turn on the subjective financial well-being of families with children in Austria. Background: The pandemic had strong repercussions on the Austrian labour market. The short-time work (STW) programme covered a third of employees in the first half of 2020 and helped to maintain employment levels. We provide evidence on how an unprecedented labour market crisis of this sort and in particular the exceptionally wide use of STW had affected the employment situation of parents and the financial well-being of different types of families. Method: The study draws on register data and representative panel survey data. The latter cover 905 families with minor children and include information on the employment situation of parents and the financial well-being of families before crisis onset, three months and ten months after its onset. Results: Register data show that mothers were not more strongly affected by the labour market crisis of 2020 than childless women or fathers. According to survey data, about a third of couples with minor children experienced income losses. Despite the wide use of STW and government support to families, the share of families in financial difficulties has substantially increased, especially among those with many children and single parents, many of whom were at risk of poverty already before the crisis. Conclusion: Substantial shares of dual-earner families that had low poverty risks before the crisis were in financial difficulties in 2020. Potential spill-over effects of financial shocks on children are discussed.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
José M. Arranz ◽  
Carlos García-Serrano ◽  
Virginia Hernanz

PurposeThis paper investigates whether short-time work (STW) schemes were successful in their objective of maintaining employment and keeping workers employed within the same firms after the onset of the financial and economic crisis in 2008.Design/methodology/approachSpanish longitudinal administrative data has been used, making it possible to identify short-time work (STW) participation not only of workers but also of employers and allowing to know the future labour market status of participants and non-participants. Accordingly, treatment and control groups are defined, and Propensity Score Matching models estimated. The dependent variable is measured as the probability that an individual remained employed with the same employer in the future (one, two and three years) after implementation of a STW arrangement.FindingsOur results suggest that treated individuals are about 5 percentage points less likely to remain working with the same employer one year later than similar workers, and this negative effect of participation increases over time. Thus, STW schemes would not have the assumed effect of preventing unemployment by keeping the participants employed relative to non-participants.Research limitations/implicationsAs our analysis is based on the comparison of the employment trajectories of participant and non-participant workers in firms that have used STW arrangements, our findings cannot be interpreted as the job saving effects of either macro or micro studies carried out previously.Practical implicationsThe analysis carried out in the paper is complementary to the country-level and firm-level approaches that have been used in the empirical literature.Originality/valueWe adopt a worker-level approach. This is novel since no previous study has focused attention on the impact of STW participation on the subsequent labour market status of workers.


SERIEs ◽  
2021 ◽  
Author(s):  
Cristina Lafuente ◽  
Raül Santaeulàlia-Llopis ◽  
Ludo Visschers

AbstractWe investigate the behavior of aggregate hours supplied by workers in permanent (open-ended) contracts and temporary contracts, distinguishing changes in employment (extensive margin) and hours per worker (intensive margin). We focus on the differences between the Great Recession and the start of the COVID-19 Recession. In the Great Recession, the loss in aggregate hours is largely accounted for by employment losses (hours per worker did not adjust) and initially mainly by workers in temporary contracts. In contrast, in the early stages of the COVID-19 Recession, approximately sixty percent of the drop in aggregate hours is accounted for by permanent workers that do not only adjust hours per worker (beyond average) but also face employment losses—accounting for one-third of the total employment losses in the economy. We argue that our comparison across recessions allows for a more general discussion on the impact of adjustment frictions in the dual labor market and the effects policy, in particular the short-time work policy (ERTE) in Spain.


2019 ◽  
pp. 283-303
Author(s):  
Florian Spohr

Germany has become one of the most competitive economies in the world. Only a decade and a half ago it was widely derided as stagnant, and ridden by political paralysis in reforming its labour market policies. However, in 2002, the discovery of manipulated statistics in the German Employment Agency opened a window of opportunity to break the stalemate in corporatist policymaking. In response, the government convened a commission to design labour market policy reforms: the Hartz Committee, named for its chair, Peter Hartz. Including experts, politicians, and members from interest groups in the commission enabled the government to promote the ‘Hartz Reforms’ on the basis of expertise and compromise. Their focus was on creating incentives for seeking employment. Job search assistance and monitoring gained importance, whereas ineffective job creation and early retirement schemes were abolished or reduced. These activating reforms successfully tackled structural unemployment and increased the overall employment rate. Their success in strengthening economic resilience was demonstrated during the 2008 economic crisis, when in combination with other measures such as the extension of short-time work, and controlled unit labour costs, they led Germany’s labour market through the deep recession.


2013 ◽  
Vol 114 (1) ◽  
pp. 105-120 ◽  
Author(s):  
Romina Boarini ◽  
Margherita Comola ◽  
Femke de Keulenaer ◽  
Robert Manchin ◽  
Conal Smith

2010 ◽  
Vol 214 ◽  
pp. R38-R50 ◽  
Author(s):  
Jens Boysen-Hogrefe ◽  
Dominik Groll

This paper lays out the various reasons for the exceptional performance of the German labour market during and after the Great Recession of 2008/9. The reference point of our analysis is provided by an empirical model of both total hours worked and employment. We conduct dynamic simulations of the crisis period to assess how surprising the reaction of the labour market really was. We argue that the most important precondition for the minor reaction of employment during this crisis was the pronounced wage moderation observed in the years before, which constitutes a distinct difference to all other recessions in Germany. Beyond that, the flexibility of adjusting working time, which has increased considerably during the past ten years, facilitated a tendency to labour hoarding. In contrast, short-time work plays a minor role in explaining the difference from previous recessions, since this instrument has always been available to firms in Germany and its use has not been extraordinary compared with earlier recessions.


Author(s):  
G.V. Semya ◽  
E.S. Garifulina ◽  
N.V. Freik

The article presents an expert analysis of the impact of the restrictions imposed to prevent the spread of a new coronavirus infection (COVID-19) in Russia on the situation of families with children and the children, as well as the delayed consequences for the social orphancy system in Russia. The expert assessment is based on the results of sociological surveys of the child protection representatives, their opinion on the impact of the pandemic on the well-being of families with children and children in 9 regions, the analysis of individual organizations for orphans and children left without parental care. The data on the difference in the assessment of the situation of specialists and representatives of the non-profit sector are correlated. Conclusions are drawn about the strengthening of the “medical approach” in assessing the well-being of a child against social and personal needs, the lack of flexibility in organizing the work of the subjects of the orphancy prevention system during restrictive measures, as well as objective limitations of the remote form of providing social services and the unavailability of such services for certain family categories. The research was com- missioned by the Elena and Gennady Timchenko Charitable Foundation.


2004 ◽  
Vol 12 (3) ◽  
pp. 377-398
Author(s):  
HANS ROODENBURG ◽  
ROB EUWALS ◽  
HARRY TERRELE

Employing methods extracted from the literature, in combination with data on the Dutch economy, we assess the impact of immigration on the labour market and the public sector in the Netherlands. Additional labour supply due to immigration will have only a limited positive effect on the total income of natives, though redistribution between native groups is relatively large. The long run fiscal impact of immigrants will only be positive if their labour market performance at least equals that of natives. We conclude that selective labour immigration may contribute to the economic well-being of the host country. However, large-scale immigration of labour is not considered to be effective in alleviating the financial burden of ageing in the Netherlands.


1996 ◽  
Vol 77 (8) ◽  
pp. 502-514 ◽  
Author(s):  
Thomas P. McDonald ◽  
Graciela Couchonnal ◽  
Theresa Early

The authors examine the family caregiving experience among families with children with severe emotional disabilities from a perspective that recognizes the importance of the family's views and feelings. This viewpoint anticipates the occurrence of both positive and negative experiences and seeks to illuminate the caregiving process from the perspective of outcomes achieved. Family caregivers of 164 children with serious emotional disorders were asked to identify major pleasant and stressful events that had occurred in the past 12 months. The most frequently described pleasant events related to children's behavior, school activities, and interactions with professionals and friends. Frequently described problem areas included children's behavior, professionals/services, and difficulty with school. The impact of these pleasant and stressful events was examined with respect to caregivers' perceived well-being: (1) overall stress, (2) the ability to fulfill responsibilities, and (3) pleasure experienced in various life domains. Implications of the study findings for supporting family caregivers in their roles are discussed.


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