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Internal versus external labour Flexibility

Author

Listed:
  • Eve Caroli

    (Paris X University, EconomiX and Paris School of Economics)

Abstract

This article uses a competence-based approach to the firm in order to analyse the recent destabilisation of internal labour markets. We argue that increasing knowledge codification made possible by the diffusion of information and communication technologies has made competences less dependent upon individuals. Knowledge has been increasingly embodied in firms themselves, which has played an important role in lowering the relative cost of human resource management strategies based on external labour flexibility. As a consequence, recourse to external labour markets has developed,which may harm firms' innovative capabilities in the long run.

Suggested Citation

  • Eve Caroli, 2007. "Internal versus external labour Flexibility," National Institute Economic Review, National Institute of Economic and Social Research, vol. 201(1), pages 107-118, July.
    • Handle: RePEc:sae:niesru:v:201:y:2007:i:1:p:107-118
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    Citations

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    Cited by:

    1. Luc Behaghel & Julie Moschion, 2011. "Skilled labor supply, IT-based technical change and job instability," Working Papers halshs-00646595, HAL.
    2. Chengde You & Huishan Qiu & Zhuojie Pi & Mengyuan Yu, 2023. "Sustainable Enterprise Development in the Manufacturing Sector: Flexible Employment and Innovation in China," Sustainability, MDPI, vol. 15(10), pages 1-30, May.
    3. Christophe Ramaux, 2005. "Les emplois ne sont pas plus instables : explications et incidences sur la régulation de l'emploi," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00801412, HAL.

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