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Working Hours Flexibility and Older Workers' Labor Supply

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Author Info

  • Gielen, A. C.

    (Tilburg University, Center for Economic Research)

Abstract

This paper studies the presence of hours constraints on the UK labor market and its effect on older workers labor supply, both at the extensive and the intensive margin. Using panel data for the period 1991-2004, the results from a competing risks model show that over-employed male workers can freely reduce working hours with their current employer prior to full retirement. However, some over-employed women are observed to leave the labor market early due to hours constraints. Despite the fact that hours constraints may shorten working lives of older women, this paper presents some explorative results which illustrate that increasing working hours flexibility does not seem to increase older workers total labor supply as is often suggested.

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Bibliographic Info

Paper provided by Tilburg University, Center for Economic Research in its series Discussion Paper with number 2007-49.

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Date of creation: 2007
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Handle: RePEc:dgr:kubcen:200749

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Web page: http://center.uvt.nl

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Keywords: Labor supply; hours constraint; mobility; retirement;

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References

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  1. Van den Berg, Gerard J., 2001. "Duration models: specification, identification and multiple durations," Handbook of Econometrics, in: J.J. Heckman & E.E. Leamer (ed.), Handbook of Econometrics, edition 1, volume 5, chapter 55, pages 3381-3460 Elsevier.
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  11. Michaud, P.C., 2003. "Joint Labour Supply Dynamics of Older Couples," Discussion Paper 2003-69, Tilburg University, Center for Economic Research.
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  13. James Banks & Sarah Smith, 2006. "Retirement in the UK," Oxford Review of Economic Policy, Oxford University Press, vol. 22(1), pages 40-56, Spring.
  14. Joseph Altonji & Christina Paxson, 1990. "Labor Supply, Hours Constraints and Job Mobility," Working Papers 651, Princeton University, Department of Economics, Industrial Relations Section..
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  18. Charles Decicca, 2007. "Hours Flexibility And Retirement," Economic Inquiry, Western Economic Association International, vol. 45(2), pages 251-267, 04.
  19. Mark L. Bryan, 2007. "Free to choose? Differences in the hours determination of constrained and unconstrained workers," Oxford Economic Papers, Oxford University Press, vol. 59(2), pages 226-252, April.
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Citations

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Cited by:
  1. Fouarge Didier & Baaijens Christine, 2009. "Job Mobility and hours of work: the effect of Dutch legislation," ROA Research Memorandum 004, Maastricht University, Research Centre for Education and the Labour Market (ROA).
  2. Graf, Nikolaus & Hofer, Helmut & Winter-Ebmer, Rudolf, 2011. "Labor supply effects of a subsidized old-age part-time scheme in Austria," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 44(3), pages 217-229.
  3. Stephan Humpert & Christian Pfeifer, 2011. "Explaining Age and Gender Differences in Employment Rates: A Labor Supply Side Perspective," Working Paper Series in Economics 214, University of Lüneburg, Institute of Economics.
  4. Bernhard Boockmann & Jan Fries & Christian Göbel, 2012. "Specific Measures for Older Employees and Late Career Employment," IAW Discussion Papers 89, Institut für Angewandte Wirtschaftsforschung (IAW).
  5. Sergi Jiménez Martín & Judit Vall Castello, 2009. "Business Cycle Effects on Labour Force Transitions for Older People in Spain," Working Papers 2009-25, FEDEA.
  6. Bell, David N.F. & Rutherford, Alasdair C., 2013. "Older Workers and Working Time," IZA Discussion Papers 7546, Institute for the Study of Labor (IZA).

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