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Who Gets The Job And Why? An Explorative Study Of Employers’ Recruitment Behavior

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  • Lars Behrenz

    ()
    (Växjö University)

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    Abstract

    In the literature of labor economics we find many examples of studies analyzing job seekers search behavior, but few examples of the corresponding analysis of the recruitment behavior of employers. This paper gives a picture of the recruitment behavior of Swedish employers. The analysis is based on about 800 telephone interviews with employers regarding the last person they had hired. This paper relates the lemon’s problem in Akerlof with the Spence signaling model, and then it proceeds to relate indices and signals to the hiring behavior of employers. Employers mainly recruit personnel in order to expand a certain activity of their firm. On an average the total recruitment process takes about a month. In first round employers mainly look for job seekers with good education and experience. During the job interview the employer search for persons with professional knowledge, personal engagement and social competence.

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    File URL: http://www.cema.edu.ar/publicaciones/download/volume4/behrenz.pdf
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    Bibliographic Info

    Article provided by Universidad del CEMA in its journal Journal of Applied Economics.

    Volume (Year): IV (2001)
    Issue (Month): (November)
    Pages: 255-278

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    Handle: RePEc:cem:jaecon:v:4:y:2001:n:2:p:255-278

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    Related research

    Keywords: labor market; recruitment behavior; vacancies;

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    References

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    1. McCall, John J, 1970. "Economics of Information and Job Search," The Quarterly Journal of Economics, MIT Press, vol. 84(1), pages 113-26, February.
    2. van Ours, Jan & Ridder, Geert, 1991. "Job requirements and the recruitment of new employees," Economics Letters, Elsevier, vol. 36(2), pages 213-218, June.
    3. Akerlof, George A, 1970. "The Market for 'Lemons': Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, MIT Press, vol. 84(3), pages 488-500, August.
    4. Mortensen, D. T. & Vishwanath, T., 1995. "Personal contacts and earnings: It is who you know!," Labour Economics, Elsevier, vol. 2(1), pages 103-104, March.
    5. Devine, Theresa J. & Kiefer, Nicholas M., 1993. "The empirical status of job search theory," Labour Economics, Elsevier, vol. 1(1), pages 3-24, June.
    6. Barron, John M & Bishop, John & Dunkelberg, William C, 1985. "Employer Search: The Interviewing and Hiring of New Employees," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 43-52, February.
    7. Ours, J.C. van & Ridder, G., 1992. "Vacancies and recruitment of new employees," Open Access publications from Tilburg University urn:nbn:nl:ui:12-142178, Tilburg University.
    8. Lindeboom, Maarten & van Ours, Jan C & Renes, Gusta, 1994. "Matching Employers and Workers: An Empirical Analysis on the Effectiveness of Search," Oxford Economic Papers, Oxford University Press, vol. 46(1), pages 45-67, January.
    9. Harry J. Holzer, 1986. "Search Method Use by Unemployed Youth," NBER Working Papers 1859, National Bureau of Economic Research, Inc.
    10. Barron, John M & Berger, Mark C & Black, Dan A, 1997. "Employer Search, Training, and Vacancy Duration," Economic Inquiry, Western Economic Association International, vol. 35(1), pages 167-92, January.
    11. Montgomery, James D, 1991. "Social Networks and Labor-Market Outcomes: Toward an Economic Analysis," American Economic Review, American Economic Association, vol. 81(5), pages 1407-18, December.
    12. Mortensen, Dale T, 1970. "Job Search, the Duration of Unemployment, and the Phillips Curve," American Economic Review, American Economic Association, vol. 60(5), pages 847-62, December.
    13. Barron, John M & Bishop, John, 1985. "Extensive Search, Intensive Search, and Hiring Costs: New Evidence on Employer Hiring Activity," Economic Inquiry, Western Economic Association International, vol. 23(3), pages 363-82, July.
    14. Albert Rees & Wayne Gray, 1982. "Family Effects in Youth Employment," NBER Chapters, in: The Youth Labor Market Problem: Its Nature, Causes, and Consequences, pages 453-474 National Bureau of Economic Research, Inc.
    15. Gorter, Cees & Nijkamp, Peter & Rietveld, Piet, 1993. "The Impact of Employers' Recruitment Behaviour on the Allocation of Vacant Jobs to Unemployed Job Seekers," Empirical Economics, Springer, vol. 18(2), pages 251-69.
    16. van Ours, Jan & Ridder, Geert, 1992. "Vacancies and the Recruitment of New Employees," Journal of Labor Economics, University of Chicago Press, vol. 10(2), pages 138-55, April.
    17. Barron, John M & Mellow, Wesley, 1982. "Labor Contract Formation, Search Requirements, and Use of a Public Employment Service," Economic Inquiry, Western Economic Association International, vol. 20(3), pages 381-87, July.
    18. Terry R. Johnson & Katherine P. Dickinson & Richard W. West, 1985. "An Evaluation of the Impact of ES Referrals on Applicant Earnings," Journal of Human Resources, University of Wisconsin Press, vol. 20(1), pages 117-137.
    19. Spence, A Michael, 1973. "Job Market Signaling," The Quarterly Journal of Economics, MIT Press, vol. 87(3), pages 355-74, August.
    20. George J. Stigler, 1961. "The Economics of Information," Journal of Political Economy, University of Chicago Press, vol. 69, pages 213.
    21. Chan, William, 1996. "External Recruitment versus Internal Promotion," Journal of Labor Economics, University of Chicago Press, vol. 14(4), pages 555-70, October.
    22. Adnett, N J, 1987. "State Employment Agencies and Labour Market Efficiency," Cambridge Journal of Economics, Oxford University Press, vol. 11(3), pages 183-96, September.
    23. Edmund S. Phelps, 1968. "Money-Wage Dynamics and Labor-Market Equilibrium," Journal of Political Economy, University of Chicago Press, vol. 76, pages 678.
    24. van Ours, J.C. & Ridder, G., 1991. "Job Requirements and Recruitment of New Employees," Open Access publications from Tilburg University urn:nbn:nl:ui:12-142204, Tilburg University.
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    Cited by:
    1. Robert Wagner & Thomas Zwick, 2012. "How Acid are Lemons? Adverse Selection and Signalling for Skilled Labour Market Entrants," Economics of Education Working Paper Series 0071, University of Zurich, Institute for Strategy and Business Economics (ISU), revised Feb 2012.
    2. Hensvik, Lena & Nordström Skans, Oskar, 2013. "Networks and youth labor market entry," Working Paper Series 2013:23, IFAU - Institute for Evaluation of Labour Market and Education Policy.

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