IDEAS home Printed from https://ideas.repec.org/a/sae/ilrrev/v52y1999i4p565-580.html
   My bibliography  Save this article

Changing Consequences of Job Separation in the United States

Author

Listed:
  • Daniel Polsky

Abstract

Using the Panel Study of Income Dynamics, the author examines the consequences of job loss between the periods 1976–81 and 1986–91. He finds stability in the overall incidence of job separation, but a statistically significant increase in the incidence of involuntary job loss, relative to quits, for older workers. He also finds that the consequences of involuntary job loss worsened: the reemployment rate of workers who experienced involuntary job loss dropped from 67% in 1976–81 to 62% in 1986–91, and among those who found new jobs, the odds of receiving a large wage cut rose from 9% in 1976–81 to 17% in 1986–91.

Suggested Citation

  • Daniel Polsky, 1999. "Changing Consequences of Job Separation in the United States," ILR Review, Cornell University, ILR School, vol. 52(4), pages 565-580, July.
    • Handle: RePEc:sae:ilrrev:v:52:y:1999:i:4:p:565-580
    DOI: 10.1177/001979399905200404
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/001979399905200404
    Download Restriction: no
    File URL: https://libkey.io/10.1177/001979399905200404?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Henry S. Farber, 1997. "The Changing Face of Job Loss in the United States, 1981-1995," Working Papers 761, Princeton University, Department of Economics, Industrial Relations Section..
    2. Henry S. Farber, 1995. "Are Lifetime Jobs Disappearing? Job Duration in the United States: 1973-1993," NBER Working Papers 5014, National Bureau of Economic Research, Inc.
    3. repec:pri:indrel:dsp01ng451h49q is not listed on IDEAS
    4. Henry S. Farber, 1995. "Are Lifetime Jobs Disappearing? Job Duration in the United States: 1973-1993," Working Papers 720, Princeton University, Department of Economics, Industrial Relations Section..
    5. repec:fth:prinin:382 is not listed on IDEAS
    6. Henry S. Farber, 1997. "The Changing Face of Job Loss in the United States, 1981-1995," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 28(1997 Micr), pages 55-142.
    7. Jacob Mincer, 1986. "Wage Changes in Job Changes," NBER Working Papers 1907, National Bureau of Economic Research, Inc.
    8. Henry S. Farber, 1997. "The Changing Face of Job Loss in the United States, 1981-1995," Working Papers 761, Princeton University, Department of Economics, Industrial Relations Section..
    9. Topel, Robert, 1990. "Specific capital and unemployment: Measuring the costs and consequences of job loss," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 33(1), pages 181-214, January.
    10. Michael Podgursky & Paul Swaim, 1987. "Job Displacement and Earnings Loss: Evidence from the Displaced Worker Survey," ILR Review, Cornell University, ILR School, vol. 41(1), pages 17-29, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hospido, Laura, 2015. "Wage dynamics in the presence of unobserved individual and job heterogeneity," Labour Economics, Elsevier, vol. 33(C), pages 81-93.
    2. Marianne Bertrand, 2004. "From the Invisible Handshake to the Invisible Hand? How Import Competition Changes the Employment Relationship," Journal of Labor Economics, University of Chicago Press, vol. 22(4), pages 723-766, October.
    3. Werner Eichhorst & Tito Boeri & Michela Braga & An de Coen & Galasso Vicenzo & Maarten Gerard & Michael J. Kendzia & Christine Mayrhuber & Jakob Louis Pedersen & Ricarda Schmidl & Nadia Steiber, 2013. "Combining the Entry of Young People in the Labour Market with the Retention of Older Workers," WIFO Studies, WIFO, number 46988, April.
    4. Balestra Simone & Backes-Gellner Uschi, 2017. "When a Door Closes, a Window Opens? Long-Term Labor Market Effects of Involuntary Separations," German Economic Review, De Gruyter, vol. 18(1), pages 1-21, February.
    5. David Neumark, 2003. "Age Discrimination Legislation in the United States," Contemporary Economic Policy, Western Economic Association International, vol. 21(3), pages 297-317, July.
    6. Daniel Rodriguez & Madeline Zavodny, 2000. "Explaining changes in the age distribution of displaced workers," FRB Atlanta Working Paper 2000-1, Federal Reserve Bank of Atlanta.
    7. Daniel Rodriguez & Madeline Zavodny, 2001. "Family structure and sex differences in postdisplacement outcomes," FRB Atlanta Working Paper 2001-14, Federal Reserve Bank of Atlanta.
    8. Susan N. Houseman & Anne E. Polivka, 1999. "The Implications of Flexible Staffing Arrangements for Job Stability," Upjohn Working Papers 99-56, W.E. Upjohn Institute for Employment Research.
    9. Browning, Martin & Crossley, Thomas F., 2008. "The long-run cost of job loss as measured by consumption changes," Journal of Econometrics, Elsevier, vol. 145(1-2), pages 109-120, July.
    10. Borland, J. & McDonald, J.T., 2000. "Displaced workers in Australia 1984-1996: Macroeconomic Conditions and Structural Change," Papers 2000-10, Tasmania - Department of Economics.
    11. Bruce Fallick & Charles A. Fleischman, 2001. "The importance of employer-to-employer flows in the U.S. labor market," Finance and Economics Discussion Series 2001-18, Board of Governors of the Federal Reserve System (U.S.).
    12. David Neumark, 2000. "Changes in Job Stability and Job Security: A Collective Effort to Untangle, Reconcile, and Interpret the Evidence," NBER Working Papers 7472, National Bureau of Economic Research, Inc.
    13. Alicia H. Munnell & Steven Sass & Mauricio Soto & Natalia Zhivan, 2006. "Has the Displacement of Older Workers Increased?," Working Papers, Center for Retirement Research at Boston College wp2006-17, Center for Retirement Research, revised Sep 2006.
    14. Bruce Fallick & Charles A. Fleischman, 2004. "Employer-to-employer flows in the U.S. labor market: the complete picture of gross worker flows," Finance and Economics Discussion Series 2004-34, Board of Governors of the Federal Reserve System (U.S.).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Farber, Henry S, 2015. "Job Loss in the Great Recession and its Aftermath: U.S. Evidence from the Displaced Workers Survey," IZA Discussion Papers 9069, Institute of Labor Economics (IZA).
    2. Henry S. Farber, 2001. "Job Loss in the United States, 1981-1999," Working Papers 832, Princeton University, Department of Economics, Industrial Relations Section..
    3. Henry S. Farber, 2016. "Employment, Hours and Earnings Consequences of Job Loss: U.S. Evidence from the Displaced Workers Survey," Working Papers 589a, Princeton University, Department of Economics, Industrial Relations Section..
    4. Mertens, Antje, 1999. "Job stability trends and labor market (re-)entry in West Germany 1984 - 1997," SFB 373 Discussion Papers 1999,60, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
    5. Henry S. Farber, 2015. "Job Loss in the Great Recession and its Aftermath: U.S. Evidence from the Displaced Workers Survey," Working Papers 589, Princeton University, Department of Economics, Industrial Relations Section..
    6. Bergemann, Annette & Mertens, Antje, 2000. "Job stability trends, layoffs and quits: An empirical analysis for West Germany," SFB 373 Discussion Papers 2001,102, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
    7. Henry S. Farber, 2015. "Job Loss in the Great Recession and its Aftermath: U.S. Evidence from the Displaced Workers Survey," NBER Working Papers 21216, National Bureau of Economic Research, Inc.
    8. Jon Ellingsen & Caroline Espegren, 2022. "Lost in transition? Earnings losses of displaced petroleum workers," Working Papers No 06/2022, Centre for Applied Macro- and Petroleum economics (CAMP), BI Norwegian Business School.
    9. Henry S. Farber, 2001. "Job Loss in the United States, 1981-1999," Working Papers 832, Princeton University, Department of Economics, Industrial Relations Section..
    10. Anja Deelen & Marloes de Graaf-Zijl & Wiljan van den Berge, 2018. "Labour market effects of job displacement for prime-age and older workers," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 7(1), pages 1-30, December.
    11. Bergemann, Annette & Mertens, Antje, 2004. "Job Stability Trends, Layoffs, and Transitions to Unemployment: An Empirical Analysis for West Germany," IZA Discussion Papers 1368, Institute of Labor Economics (IZA).
    12. repec:pri:cepsud:171farber is not listed on IDEAS
    13. Ortego-Marti, Victor, 2017. "Loss of skill during unemployment and TFP differences across countries," European Economic Review, Elsevier, vol. 100(C), pages 215-235.
    14. Lars Ljungqvist & Thomas J. Sargent, 2010. "How Sweden's Unemployment Became More Like Europe's," NBER Chapters, in: Reforming the Welfare State: Recovery and Beyond in Sweden, pages 189-223, National Bureau of Economic Research, Inc.
    15. Henry S. Farber, 2008. "Job Loss and the Decline in Job Security in the United States," Working Papers 1055, Princeton University, Department of Economics, Center for Economic Policy Studies..
    16. Henry S. Farber, 2008. "Job Loss and the Decline in Job Security in the United States," Working Papers 1055, Princeton University, Department of Economics, Center for Economic Policy Studies..
    17. Henry S. Farber, 2007. "Job Loss and the Decline in Job Security in the United States," Working Papers 1041, Princeton University, Department of Economics, Industrial Relations Section..
    18. Paul Jackson & Victor Ortego-Marti, 2020. "Skill Loss during Unemployment and the Scarring Effects of the COVID-19 Pandemic," Working Papers 202020, University of California at Riverside, Department of Economics.
    19. Henry S. Farber, 2007. "Job Loss and the Decline in Job Security in the United States," Working Papers 1041, Princeton University, Department of Economics, Industrial Relations Section..
    20. Herz, Benedikt, 2017. "Specific Human Capital and Wait Unemployment," MPRA Paper 76777, University Library of Munich, Germany.
    21. Henry S. Farber, 2011. "Job Loss in the Great Recession: Historial Perspective from the Displaced Workers Survey, 1984-2010," Working Papers 1309, Princeton University, Department of Economics, Industrial Relations Section..

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:ilrrev:v:52:y:1999:i:4:p:565-580. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://www.ilr.cornell.edu .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.