Competitive Labor Market Research Articles

It ain’t where you’re from, it’s where you’re at: Hiring origins, firm heterogeneity, and wages

Sequential auction models of labor market competition predict that the wages required to successfully poach a worker from a rival employer will depend on the productivities of both the poached and poaching firms. We develop a theoretically grounded extension of the two-way fixed effects model of Abowd et al. (1999) in which log hiring wages are comprised of a worker fixed effect, a fixed effect for the “destination” firm hiring the worker, and a fixed effect for the “origin” firm, or labor market state, from which the worker was hired. This specification is shown to nest the reduced form for hiring wages delivered by semi-parametric formulations of the canonical sequential auction model of Postel-Vinay and Robin (2002b) and its generalization in Bagger et al. (2014). Fitting the model to Italian social security records, origin effects are found to explain only 0.7% of the variance of hiring wages among job movers, while destination effects explain more than 23% of the variance. Across firms, destination effects are more than 13 times as variable as origin effects. Interpreted through the lens of Bagger et al. (2014)’s model, this finding requires that workers possess implausibly strong bargaining strength. Studying a cohort of workers entering the Italian labor market in 2005, we find that differences in origin effects yield essentially no contribution to the evolution of the gender gap in hiring wages, while differences in destination effects explain the majority of the gap at the time of labor market entry. These results suggest that where a worker is hired from tends to be relatively inconsequential for their wages in comparison to where they are currently employed.

A tale of two markets: Labor market mobility and bank information sharing

We develop a theory of bank information sharing, highlighting the interactions between credit and labor markets. A better-informed relationship bank competes with a less informed foreign bank for borrowers under asymmetric information about borrowers’ creditworthiness. Credit market competition triggers competition for the relationship bank’s loan officers, who possess valuable information about the borrowers’ creditworthiness. The relationship bank can share credit information to soften the labor market competition, despite intensifying the credit market competition. When labor market mobility is moderate, information sharing emerges as the optimal strategy of the relationship bank.

Identifying Labor Market Competitors with Machine Learning Based on Maimai Platform

ABSTRACT The demand for skilled labor has increased dramatically in the current knowledge-based economy, which is characterized by the growing intensity in labor market competition between firms. Therefore, it would be of special interest to identify future labor market competitors. At present, with the vast amount of textual data, the existing study focuses on constructing the human capital overlap and product overlap metrics with the text data as predictors to predict the labor market competition in the United States. Based on these metrics, this paper experiments with machine learning methods to predict Chinese labor market competition with Chinese text data. Furthermore, sentiment analysis is becoming popular and it has been used in a wide variety of fields. However, due to lack of data, there are few existing studies using sentiment analysis approach of firms’ online reviews. In response to this research gap, this paper constructs the sentiment analysis metric by mining the emotional content expressed in the firms’ online reviews on Maimai’s platform. The results show that our proposed metrics have superior predictive power over conventional measures and highlight the predictive utility of proposed sentiment analysis metric. Moreover, the nuanced two-dimensional competition analysis gives some interesting results.

Institutions, Occupations and Connectivity: The Embeddedness of Gig Work and Platform-Mediated Labour Market in Hong Kong

Informed by the economic sociology of work, this qualitative study employs a dynamic and multi-dimensional notion of embeddedness to critique the social bases of gig work and the platform-mediated labour market, with a series of embedding, disembedding and re-embedding forces. Conducting in-depth interviews with 24 gig workers, the findings reveal how gig work is incorporated into Hong Kong’s labour market and the ways in which gig work is reshaping the power of workers via digital platforms. First, gig work is institutionally embedded in a policy framework centred on weak regulation and protection, resulting in platforms’ expandable and retractable control over labour. Second, gig work is embedded in occupational norms and professional practices, in which workers practise multi-platforming and marketplace resistance when defending their interests. Finally, the embedded connectivity of gig work boosts the scalability of labour market competition but engenders algorithmic opacity. The marketplace bargaining power of gig workers is twofold: workers’ dependence on platforms and their working status. Hence, the embeddedness of gig work and platforms is far from stable but involves new tensions that challenge the gigification and platformisation of work.

When winners win, and losers lose: are altruistic views on immigration always affordable?

AbstractThe existing literature postulates that individual-level attitudes toward immigration are partly determined via the effect of immigration on the labor market. In particular, the labor market competition hypothesis states that natives should oppose immigrants with similar qualifications because they threaten their jobs. Empirical findings, however, partly contradict this expectation. In this paper, we argue that one needs to evaluate immigration attitudes in a broader context since the impact of immigration should be mediated by actual job market competition. In industrialized countries, the arrival of high-skilled immigrants happens against a background in which economic globalization positively affects the demand for high-skilled labor. Thus, the influx of high-skilled immigrants should rarely increase job market competition. The opposite occurs for low-skilled workers, for which labor market insecurity is enhanced by both economic globalization and immigration. We find some support for our argument using micro-level data from 19 European countries.

SDSSU BUSINESS AND MANAGEMENT EDUCATION: A GRADUATE CAREER TRACKING

This academic research aims to determine the graduate career tracking of the Bachelor of Science in Business Administration(BSBA) and Bachelor of Science in Hospitality Management(BSHM) graduates of Surigao del Sur State University. To address the need for the institutional reforms and periodic assessments, respondents were covered from 2017 to 2018. Findings revealed that majority of them are presently employed as regular or permanent in status possessing clerical jobs or rank and file. Most of the respondents are presently employed in the wholesale, retail and automotive industries being their first jobs since these major lines of businesses are relevant in their curriculum. Career challenge is the fundamental reason why they stay on their jobs until the present. Results further disclosed that most of the respondents waited one to six months before landing their first jobs. As perceived by the respondents, communication skills were the most useful among other competencies in their first job and human relations skills in their present job. Using ANOVA, findings unveiled that there is no significant difference of the respondents competencies as to their present jobs when grouped according to their programs of specialization. Further, there is no significant difference in the respondents competencies in relation to their present jobs when grouped according to their gender differences. The findings are noteworthy for the administration and to the academic sectors where the skills of the graduates are aligned in this competitive labor market which is equally important in the challenges brought by the IndustrialRevolution 4.0.

Факторы риска здоровью обучающихся в условиях реформирования системы среднего профессионального образования

INTRODUCTION: The modern system of secondary vocational education is quite popular among applicants, and working professions become a conscious choice of the younger generation and a kind of guarantee of a successful career start. This became possible due to the perspective approach of the Ministry of Education of Russia to salvation of this problem. Among the effective solutions of the program-targeted approach are a demonstration exam as an independent assessment of the practical skills of students and graduates of vocational schools, career guidance projects for schoolchildren, open online classes, international, national championships and competitions in professional skills. In recent years, significant changes have also touched upon the infrastructure of educational institutions. Modern colleges and technical schools should become the advanced platforms reflecting the challenges of the time. In this regard, the Ministry of Education of Russia has elaborated promising directions for the development of the secondary vocational education system: - constant updating of the content and technologies of vocational education and training in accordance with current and prospective requirements to the qualifications of employees, the development of technologies; - formation of a new landscape of the network of secondary vocational education, providing a flexible response to socio-economic changes, harmonization of education and training results with the requirements in the field of labor; - increase in the financial stability and targeted support for organizations engaged in educational activities for the training of workers (employees) and mid-level specialists; - bringing the qualifications of the management and teaching staff of colleges in line with the modern requirements to personnel; - development of professional competitiveness in the system of secondary vocational education to improve the effectiveness of educational and project activities. The implementation of these directions will require special attention to the health of adolescents, since vocational education is a key element in the transition from childhood to independent active life, and is characterized by significant peculiarities of the activity that play a positive role in the development of a person, and at same time have some negative influences associated with the complexity of adaptation of yesterdays schoolchildren to the factors of the industrial environment and the new realities of independent life. CONCLUSION: Thus, it can be concluded that adolescents studying in the system of secondary vocational education, represent a special social group of the population united by certain age boundaries, physiological and hygienic peculiarities, intensive mental work in the process of vocational education, mastering of industrial process, lifestyle. Therefore, in planning and conduction of research work, special attention should be given to the issue of formation of not only professionally competent specialists capable of meeting tough competition in the modern labor market, but also physically and mentally healthy personalities.

Role of Strategic Flexibility in Enhancing Innovation Performance From a Futuristic Perspective

When organizations attempt to produce on-demand products and consider customers' expectations, the organization's environment changes. In this regard, the organizations have a robust understanding of the possible changes, whether internal or external, and consider a wide range of policies. The organization must identify all significant changes occurring inside and outside the organizational structure. Therefore, strategic flexibility is related to the organization's capacity to identify the external changes or the changes that have quickly happened in the external environment. This study attempts to identify whether changes from the external environment genuinely enhance organizational innovation. The findings of this study indicated that such kinds of dramatic changes strengthen organizations as it assists in knowing strategic competitors. The study asserts that innovation of various forms occurs in different ways, but as a general topic, the activity of innovation is mainly related to outgrown to the other business or the suspected firms which might have been going through the same kinds of economic condition. The study found that organizations use flexible production policies to maintain their competitive advantage in the competitive labour market. The study highlights that flexibility is the most essential tool for organizations to survive, especially when competing businesses in the same industry with the same size.

Labor market institutions and the incidence of payroll taxation

Despite the unambiguous predictions of the canonical model of a competitive labor market, empirical studies of the labor market effects of payroll taxation provide conflicting evidence. We estimate the labor market impacts of payroll taxation in Singapore, the country with the most competitive and flexible labor market among the countries investigated in the literature. By exploiting the sharp reduction in payroll tax rate when workers turn 60, we find that the reduced payroll tax rate in Singapore has a large effect on wages without changes in employment. Our meta-analysis shows consistent evidence that varying degrees of labor market competitiveness across places and time could explain the mixed results in the literature. Our findings corroborate the prediction of the canonical model that the welfare costs of social insurance programs financed by payroll taxes can be small in a competitive labor market.

Recruitment and work arrangements for employees with intellectual disability in competitive employment

AbstractNorwegian employment policy, the activation policy, states that life on social security should be the last resort after exhausting all available activation measures. Despite this, people with intellectual disability are almost entirely excluded from the competitive labour market in Norway. This article highlights the conditions that promote employment of people with intellectual disability and factors that stimulate recruitment. This study explores (1) How do companies recruit employees with intellectual disability, including (a) how do private companies differ from public companies regarding recruitment and (b) which role does The Norwegian Labour and Welfare Administration (NAV) and upper secondary education play in this; (2) Which working arrangements do employees with intellectual disability have? and (3) What types of support do companies receive? A quantitative survey mapped the experiences of employers who have hired people with intellectual disability and highlighted factors that may promote recruitment. Most companies recruited people with intellectual disability with support from NAV. For approximately, one in five recruitments of employees with intellectual disability, collaboration with upper secondary education played a role in the hiring process. Social networks were a way into employment only in the private sector, and a larger share of private companies employed people with intellectual disability in ordinary positions without subsidies. About 27% of the companies did not receive any support when hiring employees with intellectual disability. Due to more flexible hiring regulations, there may be more structural factors promoting the recruitment of people with intellectual disability in the private sector than in the public sector. Further, the employment of people with intellectual disability in competitive labour may depend on policies and how policies are adapted and enforced by NAV employees. More extensive collaboration between upper secondary education and workplaces could also be beneficial to recruiting employees with intellectual disability.

Does urbanization matter? Diverging attitudes toward migrants and Europe's decision-making

Prevailing attitudes toward migration describe citizens' preferences towards non-native inhabitants and fulfill a key role in socio-economics as antecedents of citizens’ behaviors. According to literature, the fear (or lack of fear) of labor-market competition between natives and migrants may shape attitudes, especially those of low-skilled workers. In this comprehensive framework, we contribute to the literature by looking into a new aspect that shapes attitudes toward migration: urbanization. Employing data from round 1 to round 9 of the European Social Survey covering the time span 2002–2018, this paper analyzes the trend of attitudes toward migration, focusing on the effects of urbanization as a direct determinant of attitudes toward migration as a moderator of education. Urbanization typically affects attitudes toward migrants both directly and indirectly, interacting with individuals' education, which is used to distinguish high-skilled and low-skilled workers. Results support the hypothesis that people living in the rural areas display more negative attitudes toward migration, and this effect is more substantial for low-skilled workers.

What Leader should Do in Keeping Staff? Simplification of Human Resources Management Theory

This study aims to develop a model of human resource retention to address the issue of workforce retention that has emerged as the most critical Human Resource Management challenge. It is based on a critical analysis of human resource trends which shows that a shortage of skilled employees will occur. Therefore, an appropriate strategy is needed to win the war or labor market competition. The researcher uses the Research & Development approach by adapting Kalk's spiral development model to the stages: definition, design, demonstration, development, and testing. Researchers involve human resource management experts and refer to previous concepts, theories and relevant previous studies for developing models. The Google Form Online Mailed Instrument was also used to see the responses of the respondents, totaling 128 people. The results of the study formulated the "R&R" retention model by integrating procurement programs and retention programs. By using this model, employee loyalty will always be maintained and the organization will always be in the best performance so that maximum productivity can be achieved. While the response of the participants placed the level of achievement in the R & R model with a very decent decision.

Outcomes of talent identification in economically liberalized India: Does organizational justice matter?

Organizations in economically liberalized India face substantial challenges regarding the engagement and turnover of talent. By exploring the outcomes of the firm-level management practice of talent identification, we uncover the effects of identifying valuable employees as high potential. Adopting an organizational justice lens, we consider the social exchange consequences of talent identification for those identified either as high potential or non-high potential, examining how perceived organizational justice moderates the relationship with employee engagement/turnover intention. Based on data from 331 employees in two large organizations in India, perceptions of distributive, procedural, and interactional justice in this highly competitive labor market are found to moderate the relationship between talent identification and work engagement, while distributive justice moderates the relationship with employee turnover intention. The study identifies novel conditions under which talent identification might avoid the negative outcomes associated with an exclusive approach to talent management, commonly adopted in Indian organizations.

Linking employer branding and firm-level performance: The case of Azerbaijani firms registered on Glassdoor

In today’s competitive labor market, firms use employer branding strategies to engage their workforce for better performance. However, the current understanding of the role of employer branding in firm-level performance in the context of developing countries is very limited. This study aims to investigate the importance of employee retention and recruitment efficiency to strengthen the relationship between employer branding and firm-level performance. Data are collected from 316 Azerbaijani firms that are tagged by the Glassdoor and reviewed by former employees. Structural equation modeling is used to test the hypotheses. The results of the study show that employer branding can enhance firm-level performance through employee retention and recruitment efficiency. However, online employee reviews on the Glassdoor do not moderate the connection between employer branding and employee retention. Current employees feel motivated to continue working with those companies which show excellent employer strategies. Furthermore, a firm’s strategy to attract the best employee pool improves firm-level performance. It is also concluded that employees working in developing countries do not concern about online reviews on their employer, and prefer to continue working despite contrary thoughts. Acknowledgment Author acknowledges the financial support provided by Internal Grant Agency (IGA/FaME/2019/008) of FaME through Tomas Bata University in Zlin, Czech Republic.

Health insurance benefits as a labor market friction: Evidence from a quasi‐experiment

AbstractResearch SummaryThis study examines the propensity of small firms to provide health insurance in response to high state‐level unemployment insurance (UI) benefits, given that generous UI benefits reduce labor market frictions that constrain employee mobility. We exploit a unique data set of over 15,000 small private firms in the United States and find that when state UI benefits are high, firms will offer their employees health insurance benefits—especially when those firms rely on human capital that is difficult to replace. We find positive effects of health insurance policy on worker retention, worker productivity, and firm performance. We discuss the implications of our findings to the theory development on the relationship between exogenous labor market frictions and firms' responses to those frictions.Managerial SummaryThis study examines whether small firms that offer health insurance to their employees have better performance outcomes. Even though health insurance is a costly investment for small firms, there has been scant strategy‐ and evidence‐based guidance for managers regarding the conditions that can render investments in employee health ultimately worthwhile. The study analyzes data from 15,000 small firms in the United States and finds that offering health insurance when retaining and replacing workers by firms is more difficult. Firms that offer health insurance also have better worker retention, productivity, and profitability compared to firms that do not offer health insurance. The results suggest that investments in employee health and well‐being may provide a competitive edge to firms, especially when labor market competition for workers is high.

5 - Skills or Credentials? Comparing the Perspectives of Degree- and Non-degree-holding Ghanaian Graduates on the Value of Higher Education

The massification of higher education, fuelled in part by demand from young people and their families, has coincided with more competition in the graduate labour market. This article seeks insight into the interpretative framework through which graduates view the relationship between higher education and the labour market. Specifically, given evidence of diminishing employment opportunities for graduates, the study examines the relative strengths of human capital theory and credentialism in explaining the value that young people continue to place on higher education. Using survey data from a sample of 2,036 Ghanaian higher education graduates, the article investigates the relative value students accord to skills and credentials through analysis of two self-report measures: satisfaction with their higher education experience, and, second, labour market expectations in respect of employment and income. Overall, non-degree holders self-assessed as having more skills training. Nonetheless, degree-holders generally were more satisfied with their educational achievements and had higher labour market expectations than those without degrees. These findings imply that young people value higher education less in terms of the skills they acquire and more in regards to the face-value of the qualifications they obtain, indicating a credentialist perspective that is in marked contrast to the human capital approach which undergirds policymaking on higher education in Ghana and much of the African continent.

Public Attitudes toward Internal and Foreign Migration

AbstractWe explore attitudes toward internal and foreign migration in China using an original survey experiment. If labor-market competition drives attitudes, then residents will be opposed to migrants with comparable skill levels, regardless of migrant origin. If residents fear a dilution of national identity, then they will be more opposed to foreign than internal migration. We conduct a national survey in Mainland China, where we randomly assign respondents to answer questions about migrants with different skill levels and from either foreign countries or other provinces in China. We find that attitudes cleave over skill level, but the foreign-internal dimension is, on its own, not a salient cleavage in preferences. However, when considering high-skilled migrants, respondents are more supportive of foreign than internal migration; when considering low-skilled migrants, they are more opposed to foreign than internal migration. The results cast doubt on material explanations for attitudes toward migration and suggest a reevaluation of cultural threat arguments that privilege national borders.

Ponencia y Reseña de los Sistemas Educativos como Insumo principal en las Gestiones Educativas Contemporáneas

This work was based on the different research proposes at the local and foreign level, analyzing how different educational systems have evolved at The Latin American and global context and how educational trends have been serving as the main input in the elaboration of the different action plans and institutional improvement plans in some educational entities of tertiary education , but which has been unknown to basic and middle education bodies in the management of teachers and teaching managers learning. It analyses characteristics of global trends focused on supranational entities and how ignoring them would be detrimental to the relevance of the new undergraduate, graduate and management documents of any university at the national level to generate policies and for management and research. This review was resolved as a doctoral course work and part of a broader process of reflection in educational management and research and its relationship to the relevance of the impact of education on social change and relevance in a much more competitive labor market.

Labor Market Competition among Money Managers and Investment Correlation

Labor Market Competition among Money Managers and Investment Correlation

Labor Market Competition and Attitudes toward Immigrants: New Evidence from Asia

Labor Market Competition and Attitudes toward Immigrants: New Evidence from Asia