Firms’ Use of Temporary Employment and Permanent Workers’ Concerns about Job Security: Evidence from German Linked Employer-Employee Data
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In: Economies, Vol. 11, No. 8, 205, 01.08.2023.
Research output: Journal contributions › Journal articles › Research › peer-review
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TY - JOUR
T1 - Firms’ Use of Temporary Employment and Permanent Workers’ Concerns about Job Security
T2 - Evidence from German Linked Employer-Employee Data
AU - Pfeifer, Christian
AU - Mohrenweiser, Jens
N1 - Publisher Copyright: © 2023 by the authors.
PY - 2023/8/1
Y1 - 2023/8/1
N2 - This research note addresses the question of how permanent workers perceive their individual job security if their firm employs temporary workers with fixed-term contracts and temporary agency workers. One the one hand, the core-periphery hypothesis predicts that permanent workers should have fewer concerns about job security if the firm employs temporary workers to deal with demand fluctuations. On the other hand, a counteracting substitution effect might increase concerns about job security. Using linked employer-employee data and estimating regression models at the worker level with establishment fixed effects, evidence supports the core-periphery hypothesis for temporary agency work but not for fixed-term contracts.
AB - This research note addresses the question of how permanent workers perceive their individual job security if their firm employs temporary workers with fixed-term contracts and temporary agency workers. One the one hand, the core-periphery hypothesis predicts that permanent workers should have fewer concerns about job security if the firm employs temporary workers to deal with demand fluctuations. On the other hand, a counteracting substitution effect might increase concerns about job security. Using linked employer-employee data and estimating regression models at the worker level with establishment fixed effects, evidence supports the core-periphery hypothesis for temporary agency work but not for fixed-term contracts.
KW - core-periphery hypothesis
KW - fixed-term contracts
KW - job security
KW - linked employer-employee data
KW - temporary agency work
KW - Economics
UR - http://www.scopus.com/inward/record.url?scp=85169009133&partnerID=8YFLogxK
U2 - 10.3390/economies11080205
DO - 10.3390/economies11080205
M3 - Journal articles
AN - SCOPUS:85169009133
VL - 11
JO - Economies
JF - Economies
SN - 2227-7099
IS - 8
M1 - 205
ER -