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An Analysis of Subjective Views of Job Insecurity

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  • Francis Green

    ()

  • Andrew Dickerson

    ()

  • Alan Carruth

    ()

  • David Campbell

    ()

Abstract

In the 1997 and 1998 waves of the British Household Panel Survey, workers are asked to assess their level of job security in terms of the probability of becoming unemployed within the next year. We examine whether these perceptions of insecurity are purely subjective or are systematically related to certain characteristics of the worker and their current job. The responses offered by workers suggest that around 10% are in fear of becoming unemployed, and this fear is not persistently confined to the same workers or to particular occupational groups. Individuals with a history of unemployment and those holding short-term employment contracts are found to report the greatest levels of insecurity. Finally, we find that workers' perceptions of unemployment are strong predictors of actual unemployment experiences occurring in the subsequent year. We therefore conclude that such subjective measures of insecurity do convey useful information that may be used in further analyses of the workings of the labour market.

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File URL: ftp://ftp.ukc.ac.uk/pub/ejr/RePEc/ukc/ukcedp/0108.pdf
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Bibliographic Info

Paper provided by Department of Economics, University of Kent in its series Studies in Economics with number 0108.

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Date of creation: Apr 2001
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Handle: RePEc:ukc:ukcedp:0108

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Postal: Department of Economics, University of Kent at Canterbury, Canterbury, Kent, CT2 7NP
Phone: +44 (0)1227 764000
Fax: +44 (0)1227 827850
Web page: http://www.ukc.ac.uk/economics/

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Related research

Keywords: unemployment expectations; job satisfaction; cross-section models; panel data;

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References

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  1. Patricia Tracy Jones & Stephen Nickell & Glenda Quintini, 2000. "A Picture of Job Insecurity Facing British Men," CEP Discussion Papers dp0479, Centre for Economic Performance, LSE.
  2. Oswald, Andrew J, 1997. "Happiness and Economic Performance," Economic Journal, Royal Economic Society, vol. 107(445), pages 1815-31, November.
  3. Matthew Rabin, 1998. "Psychology and Economics," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 11-46, March.
  4. David Campbell & Alan Carruth & Andrew Dickerson & Francis Green, 2008. "Job Insecurity and Wages," Studies in Economics 0813, Department of Economics, University of Kent.
  5. Green, Francis & Felstead, Alan & Burchell, Brendan, 2000. " Job Insecurity and the Difficulty of Regaining Employment: An Empirical Study of Unemployment Expectations," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 62(0), pages 855-83, Special I.
  6. Gregg, Paul & Wadsworth, Jonathan, 2000. "Mind the Gap, Please: The Changing Nature of Entry Jobs in Britain," Economica, London School of Economics and Political Science, vol. 67(268), pages 499-524, November.
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Cited by:
  1. Becker, Sascha O. & Bentolila, Samuel & Fernandes, Ana & Ichino, Andrea, 2005. "Youth Emancipation and Perceived Job Insecurity of Parents and Children," CEPR Discussion Papers 5338, C.E.P.R. Discussion Papers.
  2. Francis Green & Nicholas Tsitsianis, 2004. "Can the Changing Nature of Jobs Account for National Trends in Job Satisfaction?," Studies in Economics 0406, Department of Economics, University of Kent.
  3. Petri Böckerman, 2004. "Perception of Job Instability in Europe," Social Indicators Research, Springer, vol. 67(3), pages 283-314, July.
  4. Francis Green, 2003. "The Rise and Decline of Job Insecurity," Studies in Economics 0305, Department of Economics, University of Kent.
  5. Theodossiou, I. & Vasileiou, E., 2007. "Making the risk of job loss a way of life: Does it affect job satisfaction?," Research in Economics, Elsevier, vol. 61(2), pages 71-83, June.

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