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Do Changes in Regulation Affect Temporary Agency Workers' Job Satisfaction?

Author

Listed:
  • Busk, Henna

    (University of Jyväskylä)

  • Jahn, Elke J.

    (University of Bayreuth)

  • Dauth, Christine

    (Institute for Employment Research (IAB), Nuremberg)

Abstract

This paper evaluates the impact on temporary agency workers’ job satisfaction of a reform that considerably changed regulations covering the temporary help service sector in Germany. We isolate the causal effect of this reform by combining a difference-in-difference and matching approach and using rich survey data. We find that the change of the law substantially decreased agency workers’ job satisfaction while regular workers’ job satisfaction remained unchanged. Further analysis reveals that the negative effect on agency workers’ job satisfaction can be attributed to a decrease in wages and an increase in perceived job insecurity. These results are also robust to the use of different specifications and placebo tests.

Suggested Citation

  • Busk, Henna & Jahn, Elke J. & Dauth, Christine, 2015. "Do Changes in Regulation Affect Temporary Agency Workers' Job Satisfaction?," IZA Discussion Papers 8803, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp8803
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    Cited by:

    1. Andrew E. Clark, 2018. "Four Decades of the Economics of Happiness: Where Next?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 64(2), pages 245-269, June.
    2. Birgit Thomson & Lena Hünefeld, 2021. "Temporary Agency Work and Well-Being—The Mediating Role of Job Insecurity," IJERPH, MDPI, vol. 18(21), pages 1-16, October.
    3. René Petilliot, 2018. "How important is the type of working contract for job satisfaction of agency workers?," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 65(3), pages 359-379, September.
    4. Dräger, Vanessa, 2015. "Do Employment Protection Reforms Affect Well-Being?," IZA Discussion Papers 9114, Institute of Labor Economics (IZA).
    5. Jennifer Ferreira, 2016. "The German temporary staffing industry: growth, development, scandal and resistance," Industrial Relations Journal, Wiley Blackwell, vol. 47(2), pages 117-143, March.
    6. Elke Jahn, 2015. "Don't Worry, be Flexible? - Job Satisfaction among Flexible Workers," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 18(2), pages 147-168.
    7. Koangsung Choi & Chung Choe & Yoo Bin Kim, 2023. "Impact of Korea's Non‐regular Worker Protection Act on job satisfaction," LABOUR, CEIS, vol. 37(2), pages 222-241, June.
    8. Möller, Joachim, 2015. "Verheißung oder Bedrohung? : die Arbeitsmarktwirkungen einer vierten industriellen Revolution," IAB-Discussion Paper 201518, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].

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    More about this item

    Keywords

    deregulation; temporary agency employment; job satisfaction;
    All these keywords.

    JEL classification:

    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J88 - Labor and Demographic Economics - - Labor Standards - - - Public Policy

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