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Good Firms, Worker Flows and Productivity

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  • Serafinelli, Michel

Abstract

I present direct evidence on the role of firm-to-firm labor mobility in enhancing the productivity of firms located near highly productive firms. Using matched employer-employee and balance sheet data for the Veneto region of Italy, I identify a set of high-wage firms (HWF) and show they are more productive than other firms. I then show that hiring a worker with HWF experience increases the productivity of other (non-HWF) firms. A simulation indicates that worker flows explain 10-15 percent of the productivity gains experienced by other firms when HWFs in the same industry are added to a local labor market.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 47508.

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Date of creation: 09 Jun 2013
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Handle: RePEc:pra:mprapa:47508

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Keywords: productivity; agglomeration advantages; linked employer-employee data; labor mobility.;

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Cited by:
  1. Blanchflower, David G. & Oswald, Andrew J., 2013. "Does High Home-Ownership Impair the Labor Market?," IZA Discussion Papers 7640, Institute for the Study of Labor (IZA).
  2. Thomas Cornelissen & Christian Dustmann & Uta Schönberg, 2013. "Peer Effects in the Workplace," CESifo Working Paper Series 4398, CESifo Group Munich.
  3. Michèle A. Weynandt, 2014. "Selective Firing and Lemons," NRN working papers, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria 2014-05, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria.

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