How temporary is temporary employment in Spain?

Abstract

I use a multinomial logit model and the Spanish Active Population Survey (EPA) for the period 1987–1996 to study labor force transitions of temporary workers. These workers hold fixed-term employment contracts, which Spanish labor law distinguishes from indefinite contracts. Since the EPA questionnaire allows the identification of workers with either type of contract, I use matched EPA files to analyze transitions from temporary to permanent employment and explore the extent to which workers holding fixed-term employment contracts tend to be trapped in temporary employment relationships.