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Does downsizing take a toll on retained staff? An analysis of increased working hours during recessions using Japanese micro data

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  • GENDA, Yuji
  • KURODA, Sachiko

    ()

  • OHTA, Souichi

Abstract

Using official household micro data from the Labour Force Survey, this paper examines the increase in the working hours of regular male employees in Japan under recession from the late 1990s to the early 2000s. The most important findings of this paper are that working hours tended to be longer among male regular employees of firms in which (1) there was major employment adjustment, (2) substantial increase in proportion of non-regular workers, and (3) wide variance in regular wages. The results suggest that the existence of a large amount of fixed duties that are necessary to maintain internal organization and transition from the traditional employment system are the main factors that explain the increase in the working hours during the recession in Japan.

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Bibliographic Info

Paper provided by Institute of Social Science, The University of Tokyo in its series ISS Discussion Paper Series (series F) with number f154.

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Length: 28 pages
Date of creation: 01 Mar 2011
Date of revision:
Handle: RePEc:itk:issdps:f154

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Keywords: work hours; employment cut; dismissal risk; wage incentive;

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  1. Yuji Genda & Ayako Kondo & Souichi Ohta, 2010. "Long-Term Effects of a Recession at Labor Market Entry in Japan and the United States," Journal of Human Resources, University of Wisconsin Press, vol. 45(1).
  2. Kato, Takao, 2001. "The End of Lifetime Employment in Japan?: Evidence from National Surveys and Field Research," Journal of the Japanese and International Economies, Elsevier, vol. 15(4), pages 489-514, December.
  3. Rebick, Marcus, 2005. "The Japanese Employment System: Adapting to a New Economic Environment," OUP Catalogue, Oxford University Press, number 9780199247240, September.
  4. Kuroda, Sachiko, 2010. "Do Japanese Work Shorter Hours than before? Measuring trends in market work and leisure using 1976-2006 Japanese time-use survey," Journal of the Japanese and International Economies, Elsevier, vol. 24(4), pages 481-502, December.
  5. Katharine G. Abraham & Susan N. Houseman, 1990. "Job Security and Work Force Adjustment: How Different are U.S. and Japanese Practices?," NBER Working Papers 3155, National Bureau of Economic Research, Inc.
  6. Ryo Kambayashi & Daiji Kawaguchi & Izumi Yokoyama, 2006. "Wage Distribution in Japan: 1989-2003," Hi-Stat Discussion Paper Series d06-183, Institute of Economic Research, Hitotsubashi University.
  7. Andrew Hildreth and Fumio Ohtake, . "Labor Demand and the Structure of Adjustment Costs in Japan," Economics Discussion Papers 469, University of Essex, Department of Economics.
  8. Landers, Renee M & Rebitzer, James B & Taylor, Lowell J, 1996. "Rat Race Redux: Adverse Selection in the Determination of Work Hours in Law Firms," American Economic Review, American Economic Association, vol. 86(3), pages 329-48, June.
  9. Ono, Hiroshi, 2006. "Lifetime Employment in Japan: Concepts and Measurements," Working Paper Series in Economics and Finance 624, Stockholm School of Economics, revised 06 Apr 2007.
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