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Article
Publication date: 20 March 2024

Vladimir Hlasny, Reham Rizk and Nada Rostom

COVID-19 has had various effects on women’s labour supply worldwide. This study investigates how women’s labour market outcomes in the MENA region have been affected by the…

Abstract

Purpose

COVID-19 has had various effects on women’s labour supply worldwide. This study investigates how women’s labour market outcomes in the MENA region have been affected by the stringency of governments’ COVID-19 responses and school closures. We examine whether women, particularly those with children at young age, reduced their labour supply to take care of their families during the pandemic.

Design/methodology/approach

To investigate whether having a family results in an extra penalty to women’s labour market outcomes, we compare single women to married women and mothers. Using the ERF COVID-19 MENA Monitor Household Surveys, we analyse the key conditions underlying women’s labour market outcomes: (1) wage earnings and labour market status including remaining formally employed, informally, unpaid or self-employed, unemployed or out of the labour force and (2) becoming permanently terminated, being suspended, seeing a reduction in the hours worked or wages, or seeing a delay in one’s wage payments because of COVID-19. Ordered probit and multinomial logit are employed in the case of categorical outcomes, and linear models for wage earnings.

Findings

Women, regardless of whether they have children or not, appear to join the labour market out of necessity to help their families in the times of crisis. Child-caring women who are economically inactive are also more likely to enter the labour market. There is little difference between the negative experiences of women with children and child-free women in regard to their monthly pay reduction or delay, or contract termination, but women with children were more likely to experience reduction in hours worked throughout the pandemic.

Research limitations/implications

These findings may not have causal interpretation facilitating accurate inference. This is because of potential omitted variables such as endogenous motivation of women in different circumstances, latent changes in the division of domestic work between care-giving and other household members, or selective sample attrition.

Originality/value

Our analysis explores the multiple channels in which the pandemic has affected the labour outcomes of MENA-region women. Our findings highlight the challenges that hamper the labour market participation of women, and suggest that public policy should strive to balance the share of unpaid care work between men and women and increase men’s involvement, through measures that support child-bearing age women’s engagement in the private sector during crises, invest in childcare services and support decent job creation for all.

Details

International Journal of Manpower, vol. 45 no. 6
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 20 October 2023

Gaetano Lisi

This study deals with the main issues concerning the interplay between homeownership and labour market outcomes, namely (1) the relation between homeownership and labour market…

Abstract

Purpose

This study deals with the main issues concerning the interplay between homeownership and labour market outcomes, namely (1) the relation between homeownership and labour market outcomes, at both the individual level and the aggregate level, and (2) the relation between homeownership and human capital.

Design/methodology/approach

This paper is both theoretical and empirical. A search and matching model of the labour market is developed to explain the strong relation between mortgage markets and wages. A regional panel analysis in Italy is used to verify the interplay between homeownership and wages.

Findings

Homeownership is not, by itself, a condition for receiving higher wages, but rather higher wages increase the probability to become a homeowner, since they positively affect the probability of acquiring a mortgage from the bank. Eventually, wages cause homeownership, but the reverse may not be true.

Research limitations/implications

The paper focuses on the labour market, while the housing market model is restricted to the mortgage market.

Practical implications

The positive effect of homeownership on wages is hard to theoretically formalise and is not empirically proven. Before investigating a (potential) bidirectional relationship between homeownership and labour market outcomes, therefore, the related literature should assume a new theoretical link between homeowners and wages.

Social implications

The result that “homeownership is not, by itself, a condition for receiving higher wages” has positive implications for human and social development. If homeownership could lead to better labour market outcomes, indeed, socio-economic inequalities would increase in the society, because homeownership would be the starting point of a “lucky” circle that increases the well-being of people who are already wealthy.

Originality/value

First, this study clearly explains why the microeconomic result that homeowners are more likely to be employed than tenants is consistent – at the aggregate level – with a negative relation between homeownership and better labour market outcomes. Second, the related literature has largely ignored the social implications of the topic. A potential bidirectional relation between homeownership and (better) labour market outcomes, indeed, could imply an increase in the well-being of people who are already wealthy.

Details

Journal of Economic Studies, vol. 51 no. 5
Type: Research Article
ISSN: 0144-3585

Keywords

Open Access
Article
Publication date: 18 July 2024

María Cervini-Plá and José I. Silva

This study aims to contribute to the literature by examining the gender gap effects of childcare restrictions. Specifically, not using professional childcare services due to…

Abstract

Purpose

This study aims to contribute to the literature by examining the gender gap effects of childcare restrictions. Specifically, not using professional childcare services due to issues like access, quality or costs. Additionally, we explore the long-run consequences of extended work interruptions for childcare.

Design/methodology/approach

Using a specialized cross-sectional module from the 2018 Spanish Labor Force Survey, we estimated a set of linear regression models to capture the short and long run effects of childcare restrictions in labor market outcomes.

Findings

We identify substantial gender gaps in labor force, employment, full-time employment and hours worked among parents facing childcare constraints. In contrast, parents without such restrictions experience much lower gender gaps. The long-run analysis reveals that mainly career breaks lasting 2 years or more significantly diminish the labor supply and employment rates of mothers.

Originality/value

Our study goes beyond examining the effects of childcare restrictions on mothers’ labor market behavior and explicitly studies the gender disparities related to these restrictions. Moreover, our database includes information on work flexibility for childcare, allowing us to explore whether such flexibility can help mitigate these gender gaps. Additionally, we assess the long-term effects of work interruptions due to childcare responsibilities on women’s labor outcomes.

Details

Applied Economic Analysis, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2632-7627

Keywords

Article
Publication date: 19 September 2024

Tony Fang, Morley Gunderson, Viet Ha and Hui Ming

This paper analyzes the differential experiences of women in the Canadian labour market who hold lower-skilled jobs and have school-age children during two waves of Covid compared…

Abstract

Purpose

This paper analyzes the differential experiences of women in the Canadian labour market who hold lower-skilled jobs and have school-age children during two waves of Covid compared with more typical conditions pre-pandemic. The article seeks to test the hypothesis that workers at the intersection of womanhood, motherhood and precarious employment would endure even more disadvantageous labour market outcomes during the Covid pandemic than they did prior to it.

Design/methodology/approach

We employ a Gender-Based Plus (GBA+) and intersectionality lens to examine the differential effect of Covid on the effect of the trifecta of being a woman in a lower-skilled job and facing a motherhood penalty from school-age children. We use a Difference-in-Difference framework with Canadian Labour Force Survey (LFS) data to examine the differential effect of two waves of Covid on three labour market outcomes: employment, hours worked and hourly wages.

Findings

We find that being a woman in a lower-skilled job with school-age children is associated with lower employment, hours worked and wages in normal times compared to males in those same situations. Such women also face the most severe adjustment consequence from the Covid shock, with that adjustment concentrated on the margin of employment and restricted to the First Wave and not the subsequent Omicron Wave.

Originality/value

The paper studies a specific intersectional group, assesses pre-pandemic, peak-pandemic and late-pandemic differences in labour market outcomes and runs separate estimations for different job skill levels. We also study a more comprehensive list of labour market outcomes than most studies of a similar nature.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Open Access
Article
Publication date: 10 September 2024

Pedro Cavalcanti Gonçalves Ferreira

The paper examines the impact of market power on wages within the context of a developing country, focusing on Brazil.

Abstract

Purpose

The paper examines the impact of market power on wages within the context of a developing country, focusing on Brazil.

Design/methodology/approach

With access to matched employer–employee data from Brazil, we first characterized the evolution of the local labor market concentration (Municipality Herfindahl–Hirschman Index [HHI]). Then, we built a fixed-effect model with instrumental variables to verify the association between the local labor market concentration and wages. Finally, a difference-in-difference (DiD) was implemented to verify whether a merger transaction impacted the workers’ earnings in the Brazilian banking sector.

Findings

The paper’s findings suggest that there may be a negative relationship between market power and workers’ earnings.

Originality/value

This research conducted an in-depth investigation of the labor market power in a developing country. As far as we know, our work is the first to evaluate the extension of local concentration in Brazilian formal labor markets and to illustrate its evolution over the last decades. Additionally, when going through the effects of market concentration on wages, we use a new identification strategy that explores changes in the HHI that are caused by national trends in an industry as a source of exogenous variation. Finally, the last part of the paper assesses the effects of antitrust policy on the labor market, a kind of investigation that is still scarce.

Details

EconomiA, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1517-7580

Keywords

Open Access
Article
Publication date: 16 July 2024

Marta Escalonilla, Begoña Cueto and Maria Jose Perez-Villadoniga

This paper aims to analyse the short- and long-term effects of entering the Spanish labour market under tough economic conditions on young immigrant–native earnings and employment…

Abstract

Purpose

This paper aims to analyse the short- and long-term effects of entering the Spanish labour market under tough economic conditions on young immigrant–native earnings and employment outcomes.

Design/methodology/approach

The authors use cohorts, where the entry cohort into the labour market is the unit of observation. As a database, the authors use the continuous sample of working histories covering the period 2007–2021. Then, the authors estimate the model using weighted least squares.

Findings

The results show that the great recession and COVID-19 led to a blockage at the entrance of the labour market, reducing the number of workers. Additionally, the authors observe an adverse impact in terms of employment and earnings on those entering the labour market. Besides, this effect varies in intensity and persistence for natives and immigrants, as well as by country of birth, age of entry, gender and educational level.

Originality/value

A contribution to the literature is the analysis of the earnings and employment trajectories of young people entering the Spanish labour market for the first time during an adverse shock, such as the 2008 economic crisis or the COVID-19 crisis, and the possible differences that exist between native and immigrant workers. So, the authors analyse the labour market trajectories of workers covering the most recent years. Likewise, the authors carry out an extensive heterogeneity analysis in which they distinguish workers by educational level, gender, age of entry into the labour market and immigrants by their country of birth. This represents an additional contribution. The use of a cohort approach also contributes to the existing literature.

Details

Applied Economic Analysis, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2632-7627

Keywords

Book part
Publication date: 8 April 2024

Aleš Franc

The efficient functioning of the labour market is an important factor that affects long-term economic growth. The interaction of supply and demand on the labour market is…

Abstract

The efficient functioning of the labour market is an important factor that affects long-term economic growth. The interaction of supply and demand on the labour market is influenced by institutions which change the motivations and behaviour of economic actors and, ultimately, the flexibility of the labour market. There is no consensus in the literature on the effect these institutions have on labour market outcomes. This chapter focuses on a set of selective labour market institutions (employment protection legislation, minimum wages, unemployment benefits, labour taxation, trade unions and active labour market policies), compares their relevance to other European Union (EU) countries and through the lens of the Beveridge curve it tries to evaluate their impact on effectiveness of the Czech labour market. The international comparison shows that most of the considered institutions/regulations do not reach such importance (except employment protection legislation) and that they have a significant negative effect on labour market outcomes. Even the model of the Beveridge curve does not indicate that the Czech labour market is characterised by rigidities that would impair the effectiveness of a matching process at the aggregate level.

Details

Modeling Economic Growth in Contemporary Czechia
Type: Book
ISBN: 978-1-83753-841-6

Keywords

Article
Publication date: 13 May 2024

Lucyann Chikaodinaka Akunna, Uche Abamba Osakede and Olayinka Omolara Adenikinju

The purpose of this paper is to examine the effect of unemployment during the COVID-19 pandemic on mental health, quality of life and the labour market outcome across North and…

Abstract

Purpose

The purpose of this paper is to examine the effect of unemployment during the COVID-19 pandemic on mental health, quality of life and the labour market outcome across North and Southern Nigeria.

Design/methodology/approach

Data was obtained from staff laid off in selected tertiary institutions in North East and South West Nigeria using a self-administered questionnaire with a total sample size of 185. Findings are shown using the heteroscedastic linear regression and descriptive statistics.

Findings

The results showed a significant negative effect of unemployment during the pandemic on mental health and quality of life. Less than half of those laid off are reabsorbed into the labour market with the majority in the South than the Northern region and most are in self-employment.

Practical implications

The coronavirus pandemic negatively affected the human race, with a huge socio-economic impact linked to health and well-being. This reality calls for attention to the role it played on mental health and the quality of life as well as how it has influenced the labour market. Labour empowerment during a pandemic is key to cushion the effect of pandemics on health and the labour market. This can be in the form of skill empowerment and increased access to funds for business start-ups to enable self-employment that typifies the labour market after a pandemic. This in turn will reduce mental health challenges and low quality of life associated with pandemics.

Originality/value

To the best of the authors’ knowledge, this research is the first in the literature that provides empirical evidence of the effect of unemployment during the pandemic on well-being captured using mental health and the quality of life in Nigeria. Findings on labour market outcomes due to the pandemic and across regions in Nigeria are also scarce in the literature.

Details

Mental Health and Social Inclusion, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2042-8308

Keywords

Open Access
Article
Publication date: 24 October 2023

Gülin Öylü, Chiara Natalie Focacci, Luis Serratos-Sotelo, Andreas Motel-Klingebiel and Susanne Kelfve

In this paper, the authors attempt to understand how labour market attachment during the ages of 30–59 influences individuals' transition out of the labour market.

Abstract

Purpose

In this paper, the authors attempt to understand how labour market attachment during the ages of 30–59 influences individuals' transition out of the labour market.

Design/methodology/approach

Using high-quality Swedish register data, the authors follow individuals born in 1950 and observe their labour market attachment during mid-life and their exit from the labour market.

Findings

The authors find evidence that labour market attachment in different stages of the career is differently related to exit from the labour market. At the age of 30, as well as between the ages 50–59, low attachment is related with earlier exit from the labour market. On the contrary, low labour market attachment during the ages 40–49 is related with later exit from the labour market. However, regardless of age, lower labour market attachment increases the risk of work-related benefit receipt in the exit year. The authors also find evidence that gender, migration status and childhood socioeconomic disadvantages may represent obstacles to longer working lives, while high education is a consistent factor in avoiding early exit from the labour market.

Originality/value

This study provides insights on the link between labour market attachment in different stages of the career and the exit from the labour market as well as work-related benefits dependency in the year of exit.

Details

International Journal of Sociology and Social Policy, vol. 43 no. 13/14
Type: Research Article
ISSN: 0144-333X

Keywords

Article
Publication date: 25 July 2023

Itishree Choudhury and Seema Singh

Participation of women in engineering education is considerably low in India, although it is increasing in recent years. Also, engineering is primarily treated as a male-dominated…

Abstract

Purpose

Participation of women in engineering education is considerably low in India, although it is increasing in recent years. Also, engineering is primarily treated as a male-dominated profession, and the authors do not find many women in this sector. What factors contribute to this significant gender differences in engineering education and labour market in India? In this context, this study aims to examine the factors that explain the gender variations in academic performance and labour market outcomes (placement and earnings) of engineering graduates in India.

Design/methodology/approach

The paper is based on primary survey data from fourth-year engineering students in Delhi, collected in 2018–2019, with a total sample size of 3186. The study uses Ordinary least square method (OLS) and Heckman selection model to analyse gender differences in academic performance and labour market outcomes of engineering graduates, respectively.

Findings

The study finds that academic performance of male students is around 10.4% more than female students. However, this difference is heavily influenced by various socioeconomic and institutional factors. Interestingly, 3% of female engineering graduates have received more job offers than males, which contradicts the common belief that women engineers face job discrimination in the labour market in India. However, the authors find that male engineers earn around 7% more than female engineers shows the evidence of pro-male gender wage inequality in earnings. The findings support that there is a considerable variation in academic performance and earnings between male and female engineering graduates.

Originality/value

While the authors find some literature in the area of gender difference in the academic performance and labour market among university graduates in India, studies in the field of engineering education are sparse. In a context where fewer women are found in the field of engineering education along with low participation in the labour market, the findings of this study significantly contribute to the policy making.

Details

International Journal of Manpower, vol. 44 no. 8
Type: Research Article
ISSN: 0143-7720

Keywords

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