PurposeThis paper aims to examine how input from the digital restructuring of the workplace and productivity affects the risk of job loss and unemployment.Design/methodology/approachRelying on the concepts of technological unemployment and the productivity paradox as well as the theory of skills-biased technological change, the analysis incorporated micro-level individual determinants of job loss, macro-level economic determinants of input and the contribution from traditional (machinery and equipment) vs innovative (ICT) factors of production. The model has been also controlled for “traditional” indicators of “outsiderness” in the labour market. The Quality of Work Life Survey, which is a broad-based national interview survey produced by Statistics Finland, for 2018, the latest year available (N = 4,110) has been used in the analysis. Binomial logistic regression has been applied in order to estimate the effects of individual- and macro-level factors on the risk of job loss.FindingsThe results support arguments for the divergence between effects from labour- vs total-factor productivity on the risks of job loss, as well as the divergence between effects for temporary (layoff) vs permanent job loss (dismissal or unemployment). While the contribution from “traditional” factors of production to labour productivity potentially decreases the risk of permanent job loss, input from “innovative” factors of production on total-factor productivity potentially causes adverse effects (e.g. growing risks of permanent job loss).Originality/valueThe paper contributes to the theoretical discussion about technological unemployment and productivity by means of including two different concepts into a single econometric model, thus enabling examination of the research problem in an innovative way.
In this paper we investigate how economic growth and productivity, when adjusted for the influence of welfare state institutions, affects the redistribution of incomes for employed immigrants and natives in Finland. We used the European Union Statistics on Income and Living Conditions (EU-SILC) cross-sectional data for the period from 2004 to 2016 selected for Finland. Based on multilevel modelling and an aggregate production function approach, we calculate the elasticity estimates for incomes as adjusted for the influence of education, occupation and industry and social benefits. The results indicate high differentiation of incomes between immigrants and natives, while showing lower incomes for immigrants. Social benefits slightly decrease incomes, while for immigrants this negative effect is even more pronounced than it is for natives. Economic growth and increase in productivity is associated with an increase in the incomes of both immigrants and natives with low and medium education and of clerical and manual labour occupations among immigrants. Despite the widespread perception that 'immigrant hordes' have an adverse effect on the employment opportunities of natives and their incomes, the research concludes that welfare state benefits in combination with the influence from macroeconomic regulators and productivity increase incomes for immigrants.
During COVID-19, telework has become a new form of work for broader groups of workers who were not teleworking prior to the pandemic. In this study, we ask what we will be returning to after COVID-19, if teleworking will become a new norm or if most workplaces will merely return to the old forms of work. The main research question of this study was to estimate the role of telework in perception of workload. More specifically, to gain an understanding of the stakes involved when reorganizing work after the pandemic, we analysed the relationship between perceived workload and opportunities to telework. Multilevel analysis utilized representative national data of wage earners in Finland (N = 4091). The findings showed that the opportunity to telework is associated with lower perceived workload in the capital area but not in the rural areas. More specifically, increasing telework opportunities among different-level workers, particularly in educational and social work in the capital area, would be beneficial in terms of increasing well-being at work. There could be good reasons for organizations to reject returning to the status quo ex ante after COVID-19 and to consider the new norm, where opportunities to telework are offered to wider worker groups.
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