Relative Productivity and the Use of Short-Term Jobs in Companies
AbstractThe use of short-term jobs by companies may be designed to achieve two objectives: flexibility and selection/motivation. In order to distinguish between these aims, the productivity of these jobs is compared with that of employees employed for under a year but remaining with the company and with that of workers employed for over a year. While short-term jobs prove to be more productive than others filled for a comparable length of time in the service sector, this differential is not present in the industrial sector. In industry, recently employed employees seem to fill jobs with identical productivity and which are therefore similar in nature, whether or not they are asked to remain in the company. In services, employees filling a short-term position fill posts which are more immediately productive. The use of short-term jobs is not mainly motivated by the companies' desire to select their employees or encourage them to work hard.
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Bibliographic InfoArticle provided by Institut National de la Statistique et des Etudes Economiques in its journal Economie et Statistique.
Volume (Year): 405-406 (2008)
Issue (Month): (February)
Job Instability; Job Seniority; Production Function;
Find related papers by JEL classification:
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
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