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We estimate the effects of job insecurity on the mental health of older workers in the United States. To address endogeneity problems, we exploit panel data and plausibly exogenous changes in job loss expectations following eliminations of similar positions and other types of jobs at the worker’s employer, as well as changes in employment at the industry–state level. We provide evidence that job insecurity, as measured by the self-reported probability of job loss, increases stress at work and the risk of clinical depression. We also find that the use of instrumental variables increases the size of the estimated effects. We interpret this as evidence that job insecurity which is outside the control of workers may have much larger effects on mental health. Our findings suggest that employers should worry about the mental health of workers in periods of downsizing, periods which are crucial for the recovery of firms in financial difficulties and which may depend particularly on the productivity of its workers.

Currently, a much-debated issue concerns the social and political significance of the emergence of the precariat, a social class consisting of people for whom uncertainty and unpredictability of life circumstances and employment relations make it impossible to plan for the future, forcing them to live on a day-to-day basis (Standing, 2011). However, it remains unclear how the precariat may be defined and operationalized. On the one hand, treating non-standard employment arrangements (fixed-term contracts, temporary agency work, etc.) as a basis for identifying precarious jobs is likely to be misleading, as research has shown non-standard employment to be heterogeneous with respect to working conditions and chances for achieving stabilization. On the other hand, subjective perceptions of security may also be misleading as indicators of precarity, as they are compounded by psychological coping mechanisms and perceptions of reference group status. This analysis attempts to disentangle the complex relationships between non-standard employment and perceived insecurity in order to provide grounds for a more adequate conceptualization and measurement of job precarity. Specifically, I assess the extent to which the relationship between worker contractual status and perceived job, labor market, and employment insecurity is conditional on various characteristics of workers, their jobs, and their households, taking into account the country-level economic and institutional context. The analysis is based on multi-level regression models using data from the 2010 European Working Conditions Survey.

The purpose of this paper is to test whether households with members that experience job loss shocks are able to protect their previous level of consumption. The paper also tests whether consumption protection is affected when spells persist through time.

The paper estimates an intertemporal consumption model, where households try to smooth their marginal utility over time. For that purpose it analyses Spanish household budget surveys that span a long period, 1999-2012, including the Great Recession. Unlike most consumption datasets, this microdata is designed as a panel and provides detailed information for all consumption categories as well as household members’ labour status.

The paper finds that consumption smoothing is dependent on the household member facing the unemployment transition. In particular, only main breadwinner’s unemployment transitions affects consumption smoothing. It also shows that the consumption drop persists beyond the period of the job loss for ongoing spells, although it follows a decreasing pattern. Finally, the estimation results are stable over the business cycle.

The results suggest that Spanish households are not capable of fully insuring against main breadwinner’s unemployment shocks. Further, the results show that this effect remains up to two years for ongoing unemployment spells. Thus these results highlight a welfare loss by Spanish households with unemployed members.

The paper extends the usual analysis of job loss shocks by the main breadwinner to include the cases of both the spouse and the rest of household members, who tend to account for most unemployment. Further, it tests for unemployment persistence. Finally, it checks the sensitivity of the results to the business cycle, including the Great Recession.

Knowledge loss caused by employee exit has become a significant corporate risk. This paper aims to explore how to measure the impact of knowledge loss. The paper is based on empirical evidence from a five-year longitudinal study.

This paper is based on a longitudinal change project for a large Australian Research Council Linkage Project grant in the period 2008-2013. The method was a single case study using a critical realism paradigm. The project was a transformational change programme which aimed to help make the partner organization a learning organization to minimize the impact of knowledge loss. The partner organization was a large Australian Government Department, which faced the threat of knowledge loss caused by its ageing workforce. The sample was 118 respondents, mainly engineering and technical workers. A total of 150 respondents were invited to participate in the study which involved an annual survey and attendance at regular training workshops and related activities, with a participation rate of 79 per cent.

The results found that knowledge loss has most negative impact in terms of organizational problems including low productivity (morale), strategic misalignment of the workforce (capability gaps), resource cuts (stakeholders unhappy with performance), decreased work quantity and quality (inexperienced employees), work outputs not being used (customers mistrust), longer time to competence (learning cost) and slow task completion (increased search cycle time). The second most significant impact was increased sense of risk associated with work activities and declining capacity to manage the risk. The third main impact was decreased organizational knowledge base: knowledge loss creates knowledge deficit which is unlikely to be filled over time, as shown by the knowledge accounts of surviving employees which remained stable overall. The two remaining measurement constructs – psychological contract and learning organizational capacity – improved, which suggests that the negative impact of knowledge loss may be addressed with appropriate knowledge management.

The research is based on a single case study in a public sector organization. While the longitudinal nature of the study and the rich data collected offsets this issue, it also presents good opportunities for researchers and practitioners to test the ideas presented in this paper in other industry contexts. The complexity and range of the constructs, concepts and scale items is acknowledged. Tables have been used wherever possible to help the reader access the findings.

Knowledge loss is perhaps the greatest corporate risk facing organizations today. This paper provides a method to measure the impact of knowledge loss. Managers may use this to assess the significance of the risk and use this as a business case to take action to minimize the impact of knowledge loss.

Prior research has found knowledge loss has caused decreased psychological contract, lost organizational memory, inefficiency and ineffectiveness and declining capability; however, these concepts are discussed in broad terms only. This paper addresses the need for measurement concepts which helps us understand the nature of the impact of knowledge loss. Five knowledge loss concepts are developed: knowledge resources, psychological contract, learning organization capacity, risk management and organizational problems. The results are based on a large-scale longitudinal study providing empirical evidence of change over a three-year period, situated within the context of a research intervention, i.e. knowledge management programme.

The paper seeks to examine the impact of social exclusion on individuals' propensity to be employed and how, if employed, social exclusion affects individuals' perceived job insecurity and the likelihood of being covered by social insurance in their jobs.

Using the United Nations Development Program/United Nations Children Fund 2009 survey data from Eastern Europe and Central Asia, the paper employs comprehensive econometric methods that overcome challenges posed by endogeneity of social exclusion in labour market outcomes, self‐selection into employment, and the interdependency between perceptions of job security and social insurance coverage.

Results suggest that socially excluded individuals face hurdles in securing jobs and exhibit higher risk of job loss. Further, results suggest that a holistic educational policy could help promote social inclusion.

Formulation of policies aimed at promoting social inclusion and improved labour market outcomes should not be done in isolation; rather they should be based on a holistic understanding of the multi‐faceted nature of social exclusion.

The originality of the analysis is that it takes into account the multi‐dimensional nature of social exclusion by treating social exclusion as an outcome of a diverse set of an individual's socio‐economic characteristics that ultimately shape the way they feel about their exclusion or inclusion in their societies. This gives an indication of the types of people that are socially excluded and form the group for which a further investigation of labour market outcomes is conducted.

Research on the social determinants of health demonstrates that workers who feel insecure in their jobs suffer poorer health as a result. However, relatively few studies have examined the relationship between job insecurity and illegal substance use, which is closely related to health. In this study, we develop a theoretical model focusing on two intervening mechanisms: health and life satisfaction. Additionally, we examine differences in this relationship between women and men. We test this model using logistic regression models of substance use for women and men based on longitudinal data from the National Survey of Midlife Development in the United States. The results indicate that job insecurity is associated with a significantly higher probability of illegal substance use among women but not men. We interpret this as further evidence of the gendering of precarious employment. This relationship is not channeled through health or life satisfaction, but there is evidence that job insecurity has a stronger association with illegal substance use for women with poorer overall health.

The purpose of this paper is to examine the link between foreign ownership and perceived job insecurity. It takes into account that the link can depend on circumstances and type of firm.

The analysis is based on linked employer-employee data from Germany. The data enable us to account for both employee characteristics and firm characteristics. Most importantly, they allow a detailed analysis of moderating influences.

The estimates show that there tends to be a positive link between foreign owners and perceived job insecurity. The link is specifically strong for foreign-owned firms with high personnel turnover or poor employment growth. It is also stronger if the foreign-owned firm providing managerial profit sharing. However, the link tends to be negative for foreign-owned firms with product innovations.

Econometric examinations on the link between foreign ownership and perceived job insecurity are scarce. The study contributes to the literature by using linked employer-employee data and provides a detailed analysis of interaction effects.

While job insecurity generally impedes performance, there may be circumstances under which it can prompt performance. The purpose of this paper is to examine a specific situation (reorganization) in which job insecurity may prompt task and contextual performance. The authors propose that performance can represent a job preservation strategy, to which employees may only resort when supervisor-issued ratings of performance are instrumental toward securing one’s job. The authors hypothesize that because of this instrumentality, job insecurity will motivate employees’ performance only when they have low intrinsic motivation, and only when they perceive high distributive justice.

In a survey study among 103 permanent employees of a company in reorganization, the authors assessed perceived job insecurity, intrinsic motivation and perceived distributive justice. Supervisors rated employees’ overall performance (task performance and organizational citizenship behaviors).

Multilevel analyses showed that job insecurity was only positively related to supervisor-rated overall performance among employees with low intrinsic motivation and, unexpectedly, among employees who experienced low distributive justice. Results were cross-validated using employees’ self-rated performance, replicating the findings on distributive justice but not the findings on intrinsic motivation.

The results can inform future research on the specific situations in which job insecurity may prompt job preservation efforts, and call for research to uncover the mechanisms underlying employees’ negative and positive responses to job insecurity. The results and associated implications of this study are largely based on conceptual evidence. In addition, the cross-sectional design warrants precaution about drawing causal inferences from the data.

By combining insights from coping responses and threat foci, this study advances the understanding of when and why job insecurity may prompt performance.