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Tenures that Shook the World: Worker Turnover in Russia, Poland and Britain

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Author Info

  • Lehmann, Hartmut

    ()
    (University of Bologna)

  • Wadsworth, Jonathan

    ()
    (Royal Holloway, University of London)

Abstract

We study worker turnover in a transition economy to investigate to what extent the length of time a worker has been employed by a firm shapes the turnover process. Using data from the Polish Labor Force Survey and The Russian Longitudinal Monitor Survey we compare the pattern of turnover with a Western economy, Britain. We show tenure profiles are higher and flatter in Russia than and steeper and lower in Poland than in Britain. The characteristics of workers hired in the state and private sectors do not look very different. State and private sector firms in Poland offer the same wages to new recruits, but new private sector jobs in Russia appear to offer wage premia relative to new state jobs. We argue that these observations are consistent with a framework where the value of seniority in jobs begun under the old order may be small and the value of a continued job match unsure, offset, in Poland at least, by insider resistance to layoffs.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 90.

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Length: 42 pages
Date of creation: Dec 1999
Date of revision:
Publication status: published in: Journal of Comparative Economics, 2000, 28 (4), 639-664; see IZA Reprints 78/01
Handle: RePEc:iza:izadps:dp90

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Keywords: transition economies; worker turnover; Job tenure;

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  1. Robert E. Hall, 1984. "The Importance of Lifetime Jobs in the U.S. Economy," NBER Working Papers 0560, National Bureau of Economic Research, Inc.
  2. Lehmann, Hartmut & Wadsworth, Jonathan & Acquisti,Alessandro, 1998. "Grime And Punishment: Job Insecurity And Wage Arrears in The Russian Federation," Economics Technical Papers, Trinity College Dublin, Department of Economics 986, Trinity College Dublin, Department of Economics.
  3. Louise Grogan & Gerard J. van den Berg, 1999. "The Duration of Unemployment in Russia," Tinbergen Institute Discussion Papers, Tinbergen Institute 99-011/3, Tinbergen Institute.
  4. Jacob Mincer & Boyan Jovanovic, 1979. "Labor Mobility and Wages," NBER Working Papers 0357, National Bureau of Economic Research, Inc.
  5. Christopher A. Pissarides, 1992. "Search Unemployment with on-the-job Search," CEP Discussion Papers, Centre for Economic Performance, LSE dp0074, Centre for Economic Performance, LSE.
  6. Alessandro Acquisti & Hartmut Lehmann, 2000. "Job Creation and Job Destruction in the Russian Federation," Trinity Economics Papers, Trinity College Dublin, Department of Economics 20001, Trinity College Dublin, Department of Economics.
  7. Robert H. Topel, 1990. "Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority," NBER Working Papers 3294, National Bureau of Economic Research, Inc.
  8. Blanchard, Olivier Jean & Aghion, Philippe, 1994. "On the Speed of Transition in Central Europe," Scholarly Articles 4481322, Harvard University Department of Economics.
  9. Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, The MIT Press, edition 1, volume 1, number 0262540932, December.
  10. J. Konings & H. Lehmann & M.E. Schaffer, 1996. "Job Creation and Job Destruction in a Transition Economy: Ownership, Firm Size," CERT Discussion Papers, Centre for Economic Reform and Transformation, Heriot Watt University 9611, Centre for Economic Reform and Transformation, Heriot Watt University.
  11. Brown, James N & Light, Audrey, 1992. "Interpreting Panel Data on Job Tenure," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 10(3), pages 219-57, July.
  12. Lehmann, Hartmut & Wadsworth, Jonathan & Acquisti, Alessandro, 1999. "Grime and Punishment: Insecurity and Wage Arrears in the Russian Federation," IZA Discussion Papers 65, Institute for the Study of Labor (IZA).
  13. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 87(5), pages 972-90, October.
  14. Farber, Henry S., 1999. "Mobility and stability: The dynamics of job change in labor markets," Handbook of Labor Economics, Elsevier, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 37, pages 2439-2483 Elsevier.
  15. Joseph Altonji & R. Shakotko, 1985. "Do Wages Rise with Job Seniority?," Working Papers, Princeton University, Department of Economics, Industrial Relations Section. 567, Princeton University, Department of Economics, Industrial Relations Section..
  16. Lehmann, Hartmut & Schaffer, Mark E, 1995. " Productivity, Employment and Labor Demand in Polish Industry in the 1980s: Some Preliminary Results from Enterprise-Level Data," Economic Change and Restructuring, Springer, Springer, vol. 28(1), pages 1-27.
  17. Philippe Aghion & Olivier Jean Blanchard, 1994. "On the Speed of Transition Central Europe," NBER Working Papers 4736, National Bureau of Economic Research, Inc.
  18. repec:fth:prinin:385 is not listed on IDEAS
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