Job quality and poverty in Latin America

Abstract

Labor market dynamics have played a significant role in the remarkable social gains experienced in the recent past across Latin America. Assessing quality of employment, beyond the perspective of income, to include other fundamental aspects of jobssuch as whether jobs are secure, provide benefits, or are satisfyingcan shed light on the sustainability of these achievements. This is particularly pertinent given the region's current economic slowdown. Using harmonized data for 15 countries in Latin America, this paper connects the role of job quality with the recent process of inclusive growth across the region, and particularly with how individuals worked their way out of poverty. The paper first proposes a multi-dimensional measure for job quality, and then uses this measure to compare job quality across countries and over time. The paper also studies correlates of job quality and the relationship between job quality and poverty. One main finding is that job quality across the region began to increase in 2003. The best predictors of job quality are age, gender, firm size, formal employment, and union membership. Benefits and job satisfaction are the dimensions of job quality that are best correlated with not living in poverty.

Four Dimensions of Quality in Australian Jobs

“…Other measures are more comprehensive. Brummund et al (2018) combined seven binary indicators that described compensation, benefits, stability and job satisfaction in 15 Latin American countries. Cloutier‐Villeneuve (2012) developed a 12‐category typology that combined information on wages, hours of work, skill levels and stability, and ordered the categories into low‐, intermediate‐ and high‐quality groups.…”

“…Third, many researchers, including Brummund et al (2018), Cloutier‐Villeneuve (2012), Grzywacz and Dooley (2003), Kalleberg et al (2000) and Muñoz de Bustillo et al (2011), use informal approaches to combine variables into summative measures. We utilise formal methods, including exploratory factor analyses and IRT modelling.…”

Four Dimensions of Quality in Australian Jobs

“…Other measures are more comprehensive. Brummund et al (2018) combined seven binary indicators that described compensation, benefits, stability and job satisfaction in 15 Latin American countries. Cloutier-Villeneuve (2012) developed a 12-category typology that combined information on wages, hours of work, skill levels and stability, and ordered the categories into low-, intermediate-and high-quality groups.…”

“…Third, many researchers, including Brummund et al (2018), Cloutier-Villeneuve (2012), Grzywacz and Dooley (2003), Kalleberg et al (2000) and Muñoz de Bustillo et al (2011), use informal approaches to combine variables into summative measures. We utilise formal methods, including exploratory factor analyses and IRT modelling.…”

Stubborn Gender Gaps in Paraguay’s Labor Market

“…Informal work may also be deemed of low quality due to its lack of social insurance and worker protections Brummund et al (2016). utilize four criteria for measuring job quality: income, benefits, stability, and job satisfaction.…”