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Drawing Lessons From The Boom Of Temporary Jobs In Spain

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  • Juan J Dolado

    (Universidad Carlos III and CEPR.)

  • Carlos Garcia--Serrano

    (Universidad de Alcala.)

  • Juan F. Jimeno

    (Universidad de Alcala, FEDEA and CEPR.)

Abstract

We review some lessons from the Spanish experience of using temporary employment contracts for regular jobs since 1984. The focus is on the role of fixed--term contracts with low severance pay, which have substituted for reform of employment protection legislation for permanent contracts. We consider the main findings about this reform on the Spanish labour market in the light of the main theoretical implications derived from models dealing with dual labour markets, and address why the incidence of temporary work has remained highly persistent, around 33% of salaried employment, in the 1990s, despite several reforms aimed at reducing it. Copyright 2002 Royal Economic Society

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Bibliographic Info

Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 112 (2002)
Issue (Month): 721 (June)
Pages: F270-F295

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Handle: RePEc:ecj:econjl:v:112:y:2002:i:721:p:f270-f295

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  1. Juan J. Dolado & Florentino Felgueroso & Juan F. Jimeno, . "The effects of minimum bargained wages on earnings: Evidence from Spain," Working Papers 97-04, FEDEA.
  2. J Jimeno & C Serrano, 1999. "Labour Reallocation, Labour Flaws and Labour Market Institutions: Evidence from Spain," CEP Discussion Papers dp0414, Centre for Economic Performance, LSE.
  3. Felgueroso, Florentino & De la Rica Goiricelaya, Sara, 1999. "Wage differentials between Permanent and Temporal Contracts: Further Evidence," DFAEII Working Papers 2002-07, University of the Basque Country - Department of Foundations of Economic Analysis II.
  4. Olympia Bover & Samuel Bentolila & Manuel Arellano, 2000. "The Distribution of Earnings in Spain During the 1980s: the Effects of Skill, Unemployment, and Union Power," Banco de Espa�a Working Papers 0015, Banco de Espa�a.
  5. Miguel �. Malo, 2000. "A Simple Model of Severance Pay Determination: The Case of Individual Dismissals in Spain," LABOUR, CEIS, vol. 14(2), pages 269-290, 06.
  6. repec:fth:prinin:433 is not listed on IDEAS
  7. Boeri, Tito, 1999. "Enforcement of employment security regulations, on-the-job search and unemployment duration," European Economic Review, Elsevier, vol. 43(1), pages 65-89, January.
  8. Maia Güell, 2003. "Fixed-term Contracts and Unemployment: an Efficiency Wage Analysis," Working Papers 18, Barcelona Graduate School of Economics.
  9. Bentolila, Samuel, 1997. "Sticky labor in Spanish regions," European Economic Review, Elsevier, vol. 41(3-5), pages 591-598, April.
  10. Juan F. Jimeno & Luis Toharia, 1993. "The effects of fixed-term employment on wages: theory and evidence from Spain," Investigaciones Economicas, Fundación SEPI, vol. 17(3), pages 475-494, September.
  11. Alison L. Booth & Marco Francesconi & Jeff Frank, 2002. "Temporary Jobs: Stepping Stones or Dead Ends?," LABORatorio R. Revelli Working Papers Series 8, LABORatorio R. Revelli, Centre for Employment Studies.
  12. Gilles Saint Paul, 2000. "Flexibility vs. rigidity: Does Spain have the worst of both worlds?," Economics Working Papers 450, Department of Economics and Business, Universitat Pompeu Fabra.
  13. Victor Aguirregabiria & Cesar Alonso-Borrego, 2009. "Labor contracts and flexibility : evidence from a labor market reform in Spain," Economics Working Papers we091811, Universidad Carlos III, Departamento de Economía.
  14. Bentolila, Samuel & Bertola, Giuseppe, 1990. "Firing Costs and Labour Demand: How Bad Is Eurosclerosis?," Review of Economic Studies, Wiley Blackwell, vol. 57(3), pages 381-402, July.
  15. Cabrales, Antonio & Hopenhayn, Hugo A., 1997. "Labor-market flexibility and aggregate employment volatility," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 46(1), pages 189-228, June.
  16. Maia Güell & Barbara Petrongolo, 2000. "Workers Transitions from Temporary to Permanent Employment: the Spanish Case," CEP Discussion Papers dp0438, Centre for Economic Performance, LSE.
  17. Bentolila, Samuel & Saint-Paul, Gilles, 1991. "The Macroeconomic Impact of Flexible Labour Contracts: An Application to Spain," CEPR Discussion Papers 596, C.E.P.R. Discussion Papers.
  18. Olivier Blanchard & Augustin Landier, 2001. "The Perverse Effects of Partial Labor Market Reform: Fixed Duration Contracts in France," NBER Working Papers 8219, National Bureau of Economic Research, Inc.
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