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Multinational firms and job tasks

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Author Info
Katariina Nilsson Hakkala
Fredrik Heyman
Fredrik Sjöholm
Abstract

We analyze the impact of multinational and foreign ownership on the demand for job tasks and educational skills. By using Swedish matched employer-employee data, we find that both foreign and domestic multinational firms have high shares of non-routine tasks and tasks requiring personal interaction. Moreover, acquisitions of local firms by multinationals increase the relative demand for non-routine and interactive job tasks in the targeted firms. The differences in the demand for job tasks are only partly explained by firm characteristics. Dividing employees by education instead of job tasks does not result in the same effects on relative labor demand, which shows that task measures do indeed capture a new labor market aspect.

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Paper provided by Government Institute for Economic Research Finland (VATT) in its series Working Papers with number 8.

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Date of creation: 22 Jul 2009
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Handle: RePEc:fer:wpaper:8

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Related research
Keywords: FDI; Cross-Border Acquisitions; Multinational Enterprises; Foreign Ownership; Job Tasks; Labor Demand; Skill Groups;

Find related papers by JEL classification:
F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements

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This page was last updated on 2009-11-13.

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