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Offshore outsourcing and non-production workers: Firm-level relationships disaggregated by skills and suppliers

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Author Info

  • Eiichi Tomiura

    (Department of Economics, Yokohama National University, and Research Institute of Economy, Trade and Industry (RIETI))

  • Banri Ito

    (Senshu University and RIETI)

  • Ryuhei Wakasugi

    (Institute of Economic Research, Kyoto University and RIETI)

Abstract

Previous studies have established that offshoring firms employ more non-production workers. By using micro-data on Japanese firms, this paper disaggregates non-production workers. The share of skilled non-production workers tends to be high in offshoring firms but that of unskilled non-production workers is not. The share of non-production workers for the management of overseas activities tends to be high in FDI firms and in firms outsourcing to foreign suppliers, but not in Japanese firms outsourcing to offshore suppliers owned by other Japanese firms. These findings suggest that offshoring has different impacts on employment depending on suppliers and the worker's skill.

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File URL: http://www.kier.kyoto-u.ac.jp/DP/DP760.pdf
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Bibliographic Info

Paper provided by Kyoto University, Institute of Economic Research in its series KIER Working Papers with number 760.

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Length: 27pages
Date of creation: Mar 2011
Date of revision:
Handle: RePEc:kyo:wpaper:760

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Keywords: offshoring; outsourcing; non-production workers; skill; firm-level data;

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