Labor Market Reforms, Temporary Workers and Wage Inequality

Kim, Hyeon-Kyeong; Skøtt, Peter

doi:10.1111/meca.12122

Cited by 5 publications

(4 citation statements)

References 21 publications

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“…permanent workers performing the same job (Booth, Francesconi, & Frank, 2002;Kim & Skott, 2016). This could be a by-product of their employment status or because organizations use lower salaries to motivate temporary workers to become full time (Skott & Guy, 2007).…”

Section: Economic Stressorsmentioning

confidence: 99%

“…In fact, a majority of temporary workers accept positions with the intention of being promoted to a permanent position, making them especially hard workers despite the unfair wage gap (Kim & Skott, 2016). Furthermore, temporary workers are particularly vulnerable to economic downturns (Boeri, 2011) and have low levels of employment protection due to a lack of regulation in the United States (Booth et al, 2002).…”

Section: Economic Stressorsmentioning

confidence: 99%

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The relationship between stressors of temporary work and counterproductive work behaviour

2020

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Recent research on temporary work has suggested that temporary work experiences vary greatly in quality. In light of concerns about diminished quality of some temporary work experiences, we suggest that temporary workers may experience a variety of stressful work situations that could precipitate detrimental outcomes not only for these workers, but also for their co-workers and organizations. Using a multi-wave survey of temporary workers, this study examines the relationship between economic, interpersonal, and organizational stressors and counterproductive work behaviour (CWB). Specifically, we hypothesize that economic stressors (operationalized as economic hardship and job insecurity), interpersonal conflict and organizational constraints will predict the extent to which temporary workers perform CWB via emotional exhaustion and moral disengagement pathways. Three waves of data show that temporary workers experiencing higher levels of economic hardship, interpersonal conflict and organizational constraints reported greater emotional exhaustion, which was linked to increased frequency of CWBs. Additionally, higher levels of job insecurity and interpersonal conflict were related to higher levels of moral disengagement, which related to increased frequency of CWBs. These findings highlight relationships of different stressors with emotional and cognitive reactions that may trigger CWB in temporary workers.

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Section: Economic Stressorsmentioning

confidence: 99%

Section: Economic Stressorsmentioning

confidence: 99%

The relationship between stressors of temporary work and counterproductive work behaviour

2020

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“…In contrast, the penalty is wider for high-paid temporary workers than for low-paid ones in Poland (Comi and Brasseni, 2012) and Spain (Olivier and Sard, 2019). Such a wage inequality against temporary workers also occurs in other developed countries such as New Zealand (Cochrane et al, 2017), Australia (Lab and Wooden, 2019), and South Korea (Kim and Skott, 2016).…”

Section: Literature Reviewmentioning

confidence: 89%

Wage Inequality in Pakistan: How Does Contract Status Matter?

Nguyen-Huu¹

2023

The Journal of Developing Areas

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This research investigates the wage gap associated with contract status in Pakistan. The estimation shows that holding a fixed-term written contract (FTC) or no written contract (NWC) instead of a long-term written contract could significantly reduce wages for Pakistani workers. However, the extent of wage inequality depends on how defining contract status. If we rely on the Pakistani national definition of FTC, engaging in an FTC is likely to suffer the highest penalty in terms of hourly wage. Such a finding no longer holds once the international standard definition of FTC is considered. Besides, the wage gaps associated with contract status change if we refer to monthly wage as the independent variable instead of hourly wage. The self-selection into wage workers and endogeneity associated with contract status are carefully taken into account.

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“…In addition, the Dispatched Workers Act was introduced, which allowed the practice of temporary work agency employment in 26 specified occupational areas. It did not set any limits on the duration of fixed-term contracts or contract renewals (Kim and Skott, 2016). At the same time, social expenditure picked up significantly from an average of 2.9 percent of GDP between 1990 to 1996 to 4.8 percent from 1997 to 2003.…”

Section: Box 1 Korea-key Labor Market Reformsmentioning

confidence: 99%

Labor Market Duality in Korea

Schauer¹

2018

IMF Working Papers

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Labor market duality is a complex and critical issue for many countries that can lower productivity, contribute to inequality and result in negative externalities. In this paper, I study duality in the Korean labor market and analyze its sources and potential policy options. I find that employment protection legislations and large productivity differentials are the key drivers of Korea's duality. In addition, applying a general equilibrium search-and-matching model and calibrating it to the Korean economy, I show that well-calibrated flexicurity policies can significantly reduce duality and inequality and raise welfare and productivity. Notably, the introduction of all three pillars-flexiblity, a strong safety net and active labor market policies-is critical for its success. If only one pillar is introduced it can result in negative side-effects and might not reduce duality.

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Labor Market Reforms, Temporary Workers and Wage Inequality

Cited by 5 publications

References 21 publications

The relationship between stressors of temporary work and counterproductive work behaviour

The relationship between stressors of temporary work and counterproductive work behaviour

Wage Inequality in Pakistan: How Does Contract Status Matter?

Labor Market Duality in Korea

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