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Are Casual Jobs a Freeway to Permanent Employment?

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  • Chalmers, J.
  • Kalb, G.

Abstract

This study examines whether casual work can shorten the time taken to move from unemployment into permanent work using longitudinal data from the Survey of Employment and Unemployment Patterns. The analysis is based on comparison of the transition rate from unemployment to permanent work with the combined transition rates of unemployment to casual work and casual work to permanent work. Hazard rate models are used to estimate each of the transition rates. The models include observed and unobserved heterogeneity and allow for correlation between the transition rates. The evidence presented suggests that accepting casual work is beneficial for some unemployed people in their search for permanent work.

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File URL: http://www.buseco.monash.edu.au/ebs/pubs/wpapers/2000/wp8-00.pdf
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Bibliographic Info

Paper provided by Monash University, Department of Econometrics and Business Statistics in its series Monash Econometrics and Business Statistics Working Papers with number 8/00.

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Length: 35 pages
Date of creation: Jul 2000
Date of revision:
Handle: RePEc:msh:ebswps:2000-8

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Keywords: LABOUR MARKET; JOB SEEKERS; ECONOMIC MODELS;

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References

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  1. Gaston, Noel & Timcke, David, 1999. "Do Casual Workers Find Permanent Full-Time Employment? Evidence from the Australian Youth Survey," The Economic Record, The Economic Society of Australia, vol. 75(231), pages 333-47, December.
  2. Gerard J. van den Berg & Anders Holm & Jan C. van Ours, 1999. "Do Stepping Stone Jobs exist? Early Career Paths in the Medical Profession," Tinbergen Institute Discussion Papers 99-041/3, Tinbergen Institute.
  3. Dale T. Mortensen, 1977. "Unemployment insurance and job search decisions," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 30(4), pages 505-517, July.
  4. Bingley, Paul & Walker, Ian, 2001. "Household Unemployment and the Labor Supply of Married Women," Economica, London School of Economics and Political Science, vol. 68(270), pages 157-85, May.
  5. Chapman, B.J. & Smith, P.N., 1993. "Predicting the Long-Term Unemployed: A primer for the Commonwealth Employment Service," CEPR Discussion Papers 285, Centre for Economic Policy Research, Research School of Economics, Australian National University.
  6. George J. Stigler, 1961. "The Economics of Information," Journal of Political Economy, University of Chicago Press, vol. 69, pages 213.
  7. Brooks, Clive & Volker, Paul, 1986. "The Probability of Leaving Unemployment: The Influence of Duration, Destination and Demographics," The Economic Record, The Economic Society of Australia, vol. 62(178), pages 296-309, September.
  8. Lubyova, Martina & van Ours, Jan C., 1999. "Effects of Active Labor Market Programs on the Transition Rate from Unemployment into Regular Jobs in the Slovak Republic," Journal of Comparative Economics, Elsevier, vol. 27(1), pages 90-112, March.
  9. Dex, Shirley, et al, 1995. "Cross-National Comparisons of the Labour Force Participation of Women Married to Unemployed Men," Oxford Economic Papers, Oxford University Press, vol. 47(4), pages 611-35, October.
  10. Julie Hotchkiss, 1999. "The effect of transitional employment on search duration: A selectivity approach," Atlantic Economic Journal, International Atlantic Economic Society, vol. 27(1), pages 38-52, March.
  11. Andrew Weiss, 1995. "Human Capital vs. Signalling Explanations of Wages," Journal of Economic Perspectives, American Economic Association, vol. 9(4), pages 133-154, Fall.
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Cited by:
  1. Jeff Borland, 2000. "Disaggregated Models of Unemployment in Australia," Melbourne Institute Working Paper Series wp2000n16, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
  2. Tatiana Karabchuk, 2012. "Temporary employment in Russia: why mostly men?," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 9(2), pages 279-303, August.
  3. Tatiana KARABCHUK, 2011. "Temporary employment in Russia: why mostly men?," Scientific Bulletin - Economic Sciences, University of Pitesti, vol. 10(1), pages 42-60.

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