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Job Creation and Job Destruction in Great Britain in the 1980s

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  • David G. Blanchflower
  • Simon M. Burgess

Abstract

Using data from the Workplace Industrial Relations Surveys of 1980, 1984, and 1990, the authors investigate processes of job creation and job destruction in Britain. They find that rates of employment growth, job creation, and job destruction were higher at the end of the 1980s than at the beginning. Both job creation and job destruction were extremely concentrated: about 50% of each was accounted for by just 4% of continuing establishments. Employment growth was apparently more variable in manufacturing plants than in private service sector workplaces. Some variables negatively related to employment growth were unionization, establishment size, establishment age, and location in the private manufacturing sector (versus private service sector).

Suggested Citation

  • David G. Blanchflower & Simon M. Burgess, 1996. "Job Creation and Job Destruction in Great Britain in the 1980s," ILR Review, Cornell University, ILR School, vol. 50(1), pages 17-38, October.
    • Handle: RePEc:sae:ilrrev:v:50:y:1996:i:1:p:17-38
    DOI: 10.1177/001979399605000102
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    References listed on IDEAS

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    1. Steven J. Davis & John Haltiwanger, 1990. "Gross Job Creation and Destruction: Microeconomic Evidence and Macroeconomic Implications," NBER Chapters, in: NBER Macroeconomics Annual 1990, Volume 5, pages 123-186, National Bureau of Economic Research, Inc.
    2. Stephen Nickell & Sushil Wadhwani, 1991. "Employment Determination in British Industry: Investigations Using Micro-Data," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 58(5), pages 955-969.
    3. Steven J. Davis & John Haltiwanger, 1992. "Gross Job Creation, Gross Job Destruction, and Employment Reallocation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(3), pages 819-863.
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