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Article
Publication date: 1 January 2004

Jos Sanders and Andries de Grip

This paper analyses whether low‐skilled workers' training participation and task flexibility contribute to their firm‐internal and firm‐external mobility, and find that…

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4492

Abstract

This paper analyses whether low‐skilled workers' training participation and task flexibility contribute to their firm‐internal and firm‐external mobility, and find that both training participation and task flexibility contribute only to firm‐internal employability. However, the workers' participation in training plays a much more explicit role in their firm‐internal career than their task flexibility does, as the former appears to be an important means to increase their opportunities in the firm‐internal labour market. Neither the low‐skilled workers' participation in training nor their task flexibility contributes to their external employability. Task‐flexible, low‐skilled workers are less likely to expect to be externally employable than non‐task flexible workers are. The focus of the low‐skilled workers on their firm‐internal employability can be explained by the fact that such workers usually have more opportunities to improve their position in the firm‐internal labour market than in the external labour market.

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International Journal of Manpower, vol. 25 no. 1
Type: Research Article
ISSN: 0143-7720

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The Creation and Analysis of Employer-Employee Matched Data
Type: Book
ISBN: 978-0-44450-256-8

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Article
Publication date: 1 January 1982

A.T. Mallier and M.J. Rosser

While unemployment is reaching new post‐war record levels, concern is being expressed about apparent skill shortages in established occupations in many local labour market…

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209

Abstract

While unemployment is reaching new post‐war record levels, concern is being expressed about apparent skill shortages in established occupations in many local labour market areas. In Coventry, for example, employment in the engineering industry fell by 9,500 between 1971 and 1976 whilst simultaneously personnel managers were expressing concern about problems in filling vacancies. A number of indicators have been examined to determine whether a shortage situation does exist in the Coventry area and proposals to remedy the situation found are suggested. Attention is also drawn to the implications for general employment prospects in the local economy if action is not taken.

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Personnel Review, vol. 11 no. 1
Type: Research Article
ISSN: 0048-3486

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Article
Publication date: 8 May 2017

Paulo de Andrade Jacinto, Eduardo Pontual Ribeiro and Tulio Cravo

The purpose of this paper is to evaluate skilled labor demand determinants in Brazil, considering alternatives explanations: changes in relative wages, non-homothetic…

Abstract

Purpose

The purpose of this paper is to evaluate skilled labor demand determinants in Brazil, considering alternatives explanations: changes in relative wages, non-homothetic technology output growth and skill-biased technical change.

Design/methodology/approach

This study relies on a rich and unique matched employer-employee data set for manufacturing sector, from 1996 to 2003. The analysis considers a translog functional form labor demand system estimated using seemingly unrelated regression and instrumental variables to control for possible measurement errors and wages and output endogeneity.

Findings

The demand function estimates suggest that: labor demand underlying technology is non-homothetic, research and development investment is biased toward skilled workers, the non-homothetic technology is not skill biased so output changes contributed positively for skilled labor increase, relative wages played a significant role and international trade has little explanatory power explaining labor demand shifts.

Originality/value

This is the first paper that considers alternative explanations for the increase in the demand of skilled workers for manufacturing in Brazil simultaneously: changes in relative wages, output changes with non-homothetic technology, skill-biased technical change and, to a lesser extent, international trade. The study challenges current empirical evidence that considers trade and trade liberalization as the main factor explaining labor demand shifts.

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Journal of Economic Studies, vol. 44 no. 2
Type: Research Article
ISSN: 0144-3585

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Article
Publication date: 7 September 2015

Bo Xin, Yuan Li, Jianfeng Yu and Jie Zhang

The purpose of this paper is to investigate the multi-skilled workers assignment problem in complex assembly systems such as aircraft assembly lines. An adaptive binary…

Abstract

Purpose

The purpose of this paper is to investigate the multi-skilled workers assignment problem in complex assembly systems such as aircraft assembly lines. An adaptive binary particle swarm optimization (A-BPSO) algorithm is proposed, which is used to balance the workload of both assembly stations and processes and to minimize the human cost.

Design/methodology/approach

Firstly, a cycle time model considering the cooperation of multi-skilled workers is constructed. This model provides a quantitative description of the relationship between the cycle time and multi-skilled workers by means of revising the standard learning curve with the “Partition-And-Accumulate” method. Then, to improve the accuracy and stability of the current heuristic algorithms, an A-BPSO algorithm that suits for the discrete optimization problems is proposed to assign multi-skilled workers to assembly stations and processes based on modified sigmoid limiting function.

Findings

The proposed method has been successfully applied to a practical case, and the result justifies its advantage as well as adaptability to both theory and engineering application.

Originality/value

A novel cycle time model considering cooperation of multi-skilled workers is constructed so that the calculation results of cycle time are more accurate and closer to reality. An A-BPSO algorithm is proposed to improve the stability and convergence in dealing with the problems with higher dimensional search space. This research can be used by the project managers and dispatchers on assembly field.

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Assembly Automation, vol. 35 no. 4
Type: Research Article
ISSN: 0144-5154

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Book part
Publication date: 11 May 2017

Müge Adalet McGowan and Dan Andrews

This paper explores the link between skill and qualification mismatch and labor productivity using cross-country industry data for 19 OECD countries. Utilizing mismatch…

Abstract

This paper explores the link between skill and qualification mismatch and labor productivity using cross-country industry data for 19 OECD countries. Utilizing mismatch indicators aggregated from micro-data sourced from the recent OECD Survey of Adult Skills (PIAAC), the main results suggest that higher skill and qualification mismatch is associated with lower labor productivity, with over-skilling and under-qualification accounting for most of these impacts. A novel result is that higher skill mismatch is associated with lower labor productivity through a less efficient allocation of resources, presumably because when the share of over-skilled workers is higher, more productive firms find it more difficult to attract skilled labor and gain market shares at the expense of less productive firms. At the same time, a higher share of under-qualified workers is associated with both lower allocative efficiency and within-firm productivity – that is, a lower ratio of high productivity to low productivity firms. While differences in managerial quality can potentially account for the relationship between mismatch and within-firm productivity, the paper offers some preliminary insights into the policy factors that might explain the link between skill mismatch and resource allocation.

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Book part
Publication date: 26 November 2012

Lorenzo Corsini

This article studies the evolution of the wage differentials between graduate (skilled) and non-graduate (unskilled) workers in several European countries from the…

Abstract

This article studies the evolution of the wage differentials between graduate (skilled) and non-graduate (unskilled) workers in several European countries from the beginning of the 1990s to the beginning of this century. The starting point is that all European countries show a common increase in the relative supply of skilled workers but different evolution of wage differentials. Economics theory usually relates the evolution of wage differentials not only to relative supply but also to skill-biased technological progress. I complement this explanation providing a theoretical model of wage bargaining where wage differentials are determined also by labour market institutions. My empirical findings show that both technological progress and labour market institutions are important in the determination of wage differentials. As for the former, I find that differentials depend on the pace and intensity at which technological progress takes place. As for labour market institutions, their effect, though important, is not always straightforward. In fact, some aspects of institutions, like minimum wage and the duration of unemployment benefits, favour unskilled workers while other aspects, like bargaining power and replacement rates from unemployment benefits, may magnify the differences in outside options and actually increase wage differentials.

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Research in Labor Economics
Type: Book
ISBN: 978-1-78190-358-2

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Article
Publication date: 1 June 1999

N. Potts

The aim of this article is to explore the current European debate over labour market flexibility. First, it considers lessons from economic theory. The classical consensus…

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2353

Abstract

The aim of this article is to explore the current European debate over labour market flexibility. First, it considers lessons from economic theory. The classical consensus considering unemployment to be purely voluntary, the Keynesian consensus introducing the concept of demand deficient involuntary unemployment and finally the neo‐classical consensus returning us to the classical viewpoint of the dominance of real conditions in the labour market. In order to proceed without confusion the article provides a clear working definition of the natural rate of unemployment and its three main components, voluntary unemployment, structural unemployment and involuntary unemployment. It then proceed to analyse each of these main components in detail, illustrating the difference between a free market approach and a European Commission approach to reducing each component of unemployment. The article concludes that the future is dependent on all EU citizens as electors of governments and holders of wages to moderate.

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European Business Review, vol. 99 no. 3
Type: Research Article
ISSN: 0955-534X

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Article
Publication date: 1 July 2006

Andries de Grip and Maarten H.J. Wolbers

The purpose of this paper is to analyse the extent to which the quality of the jobs of low‐skilled young workers is affected by the structure of education and training…

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1284

Abstract

Purpose

The purpose of this paper is to analyse the extent to which the quality of the jobs of low‐skilled young workers is affected by the structure of education and training systems in various European countries. It focuses on the differences between countries providing fairly general education (internal labour market (ILM) contexts) and countries offering more specific vocational education (occupational labour market (OLM) contexts).

Design/methodology/approach

Logistic regression analyses.

Findings

It is found that low‐skilled young workers are worse off in OLM countries than in ILM ones, with respect to employment in a permanent job, employment in a non‐elementary job and participation in continuing vocational training. However, in OLM countries low‐skilled young workers are less often involuntary part‐time employed than those in ILM countries. With regard to participation in continuing vocational training, the ILM‐OLM contrast is larger in manufacturing than in services; regarding employment in a permanent job the reverse is true.

Originality/value

It is shown that the labour market position of low‐skilled young workers is affected by the structure of education and training systems in various European countries. The upgrading of the skills demanded in the European “knowledge economies” will therefore have less severe consequences for low‐skilled young workers in ILM countries than in OLM countries, since the acquisition of occupationally specific skills is organized differently between the two institutional contexts.

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International Journal of Manpower, vol. 27 no. 5
Type: Research Article
ISSN: 0143-7720

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Book part
Publication date: 6 December 2011

Nan L. Maxwell

Institutional rules and economies of scale can create incentives for firms to make inframarginal decisions when offering fringe benefits. We examine how such incentives…

Abstract

Institutional rules and economies of scale can create incentives for firms to make inframarginal decisions when offering fringe benefits. We examine how such incentives might affect a firm's offer of health insurance.

We develop and estimate an empirical model of the firm's offer of health insurance that includes incentives created by rules and economies of scale. We quantify the behavioral manifestations from rules and costs as recruiting difficulty in areas outside those in which compensation is set and the percentage of high-skilled jobs in the firm and use the California Health and Employment Surveys (CHES) to estimate the model.

We show a 10–13 percentage point increase in the probability of a firm offering workers health insurance in jobs outside of those in which compensation is being set, if the recruiting difficulty lies in mid- or high-skilled positions. This increase is about twice the size of the increase associated with recruiting difficulty in the position in which compensation is negotiated.

A failure to control for the influence of inframarginal decision making when estimating the wage-insurance tradeoff helps produce wrong-signed estimates.

By bringing institutional rules and economies of scale into the framework of a firm's offer of fringe benefits, we help move the focus of the fringe benefit-wage tradeoff away from the individual level.

Details

Advances in the Economic Analysis of Participatory and Labor-Managed Firms
Type: Book
ISBN: 978-0-85724-760-5

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