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Flexicurity and job satisfaction in Europe: The importance of perceived and actual job stability for well-being at work

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Author Info

  • Origo, Federica
  • Pagani, Laura

Abstract

In this paper we study the effect of a micro-level measure of flexicurity on workers' job satisfaction. To this end, using micro-data from the Eurobarometer survey, we disaggregate the sample of workers into different groups according not only to their employment contract (i.e. permanent or temporary), but also to their perceived job security, and we evaluate differences in job satisfaction between these groups. After the potential endogeneity of job type has been controlled for, the results show that what matters for job satisfaction is not just the type of contract, but mainly the perceived job security, which may be independent of the type of contract. The combination "temporary but secure job" seems preferable to the combination "permanent but insecure job", indicating that the length of the contract may be less important if the worker perceives that s/he is not at risk of becoming unemployed. Our main conclusions are robust to the use of alternative definitions of workers' types and they generally hold within different welfare regimes and also for different aspects of job satisfaction, mainly those more related to job security.

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Bibliographic Info

Article provided by Elsevier in its journal Labour Economics.

Volume (Year): 16 (2009)
Issue (Month): 5 (October)
Pages: 547-555

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Handle: RePEc:eee:labeco:v:16:y:2009:i:5:p:547-555

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Web page: http://www.elsevier.com/locate/labeco

Related research

Keywords: Flexicurity Job satisfaction POLS;

References

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  1. Giuseppe Nicoletti & Stefano Scarpetta & Olivier Boylaud, 2000. "Summary Indicators of Product Market Regulation with an Extension to Employment Protection Legislation," OECD Economics Department Working Papers 226, OECD Publishing.
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  11. Jeff Dominitz & Charles F. Manski, 1996. "Perceptions of Economic Insecurity: Evidence from the Survey of Economic Expectations," NBER Working Papers 5690, National Bureau of Economic Research, Inc.
  12. Alison L. Booth & Marco Francesconi & Jeff Frank, 2002. "Temporary Jobs: Stepping Stones Or Dead Ends?," Economic Journal, Royal Economic Society, vol. 112(480), pages F189-F213, June.
  13. Ada Ferrer-i-Carbonell & Paul Frijters, 2002. "How important is Methodology for the Estimates of the Determinants of Happiness?," Tinbergen Institute Discussion Papers 02-024/3, Tinbergen Institute.
  14. Theodossiou, I. & Vasileiou, E., 2007. "Making the risk of job loss a way of life: Does it affect job satisfaction?," Research in Economics, Elsevier, vol. 61(2), pages 71-83, June.
  15. repec:ese:iserwp:2003-02 is not listed on IDEAS
  16. Terza, Joseph V., 1987. "Estimating linear models with ordinal qualitative regressors," Journal of Econometrics, Elsevier, vol. 34(3), pages 275-291, March.
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