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Do changes in regulation affect employment duration in temporary work agencies?

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  • Antoni, Manfred
  • Jahn, Elke J.

Abstract

Over the past three decades Germany has repeatedly deregulated the law on temporary agency work by stepwise increasing the maximum period for hiring-out employees and allowing temporary work agencies to conclude fixedterm contracts. These reforms should have had an effect on the employment duration within temporary work agencies. Based on an informative administrative data set we use hazard rate models to examine whether the employment duration has changed in response to these reforms. We find that the repeated prolongation of the maximum period for hiring-out employees significantly increased the average employment duration while the authorization of fixed-term contracts reduced employment tenure. -- In den vergangenen drei Dekaden hat die deutsche Regierung das Leiharbeitsrecht mehrfach dereguliert. Betroffen hiervon waren vor allem die Überlassungshöchstdauer und die Erlaubnis, befristete Arbeitsverträge abzuschließen. Mit administrativen Daten untersuchen wir die Frage, ob die Reformen des Leiharbeitsrechts Einfluss auf die Beschäftigungsdauer in Leiharbeitsfirmen hatten. Mit der Überlassungshöchstdauer sind auch die Beschäftigungsdauern zunächst signifikant gestiegen, wohingegen die Zulassung von befristeten Arbeitsverträgen zu kürzerer Beschäftigung in Leiharbeit geführt hat.

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Bibliographic Info

Paper provided by Friedrich-Alexander-University Erlangen-Nuremberg, Chair of Labour and Regional Economics in its series Discussion Papers with number 44.

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Date of creation: 2006
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Handle: RePEc:zbw:faulre:44

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Web page: http://www.arbeitsmarkt.wiso.uni-erlangen.de/english-version/
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Keywords: temporary agency work; regulation; labor law; duration analysis;

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  1. David Autor & Susan Houseman, 2009. "Do Temporary-Help Jobs Improve Labor Market Outcomes for Low-Skilled Workers? Evidence from 'Work First'," Upjohn Working Papers and Journal Articles 05-124, W.E. Upjohn Institute for Employment Research.
  2. Mario Cleves & William W. Gould & Roberto G. Gutierrez & Yulia Marchenko, 2010. "An Introduction to Survival Analysis Using Stata," Stata Press books, StataCorp LP, edition 3, number saus3, March.
  3. Van den Berg, Gerard J., 2000. "Duration Models: Specification, Identification, and Multiple Durations," MPRA Paper 9446, University Library of Munich, Germany.
  4. David H. Autor, 2000. "Outsourcing at Will: Unjust Dismissal Doctrine and the Growth of Temporary Help Employment," JCPR Working Papers 153, Northwestern University/University of Chicago Joint Center for Poverty Research.
  5. Michael Kvasnicka, 2005. "Does Temporary Agency Work Provide a Stepping Stone to Regular Employment?," SFB 649 Discussion Papers SFB649DP2005-031, Sonderforschungsbereich 649, Humboldt University, Berlin, Germany.
  6. Ichino, Andrea & Mealli, Fabrizia & Nannicini, Tommaso, 2006. "From Temporary Help Jobs to Permanent Employment: What Can We Learn from Matching Estimators and their Sensitivity?," IZA Discussion Papers 2149, Institute for the Study of Labor (IZA).
  7. Roberto G. Gutierrez, 2002. "Parametric frailty and shared frailty survival models," Stata Journal, StataCorp LP, vol. 2(1), pages 22-44, February.
  8. Zijl, Marloes & van den Berg, Gerard J & Heyma, Arjan, 2004. "Stepping-stones for the unemployed: The effect of temporary jobs on the duration until regular work," Working Paper Series 2004:19, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  9. J.I. García-Pérez & Fernando Muñoz-Bullón, 2003. "Are Temporary Help Agencies Changing Mobility Patterns In The Spanish Labour Market?," Business Economics Working Papers wb035513, Universidad Carlos III, Departamento de Economía de la Empresa.
  10. Michael Kvasnicka, 2003. "Inside the Black Box of Temporary Help Agencies," Labor and Demography 0311001, EconWPA.
  11. Boockmann, Bernhard & Hagen, Tobias, 2001. "The use of flexible working contracts in West Germany: evidence from an establishment panel," ZEW Discussion Papers 01-33, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  12. Uwe Blien & Franziska Hirschenauer & Van Phan thi Hong, 2005. "Classification of regional labour markets for purposes of research and of labour market policy," ERSA conference papers ersa05p766, European Regional Science Association.
  13. Abbring, Jaap H & van den Berg, Gerard J, 2007. "The Unobserved Heterogeneity Distribution in Duration Analysis," CEPR Discussion Papers 6219, C.E.P.R. Discussion Papers.
  14. Lewis M. Segal & Daniel G. Sullivan, 1997. "Temporary services employment durations: evidence from state UI data," Working Paper Series, Macroeconomic Issues WP-97-23, Federal Reserve Bank of Chicago.
  15. Susan N. Houseman & Arne L. Kalleberg & George A. Erickcek, 2003. "The role of temporary agency employment in tight labor markets," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 57(1), pages 105-127, October.
  16. Elke J. Jahn & Wolfgang Ochel, 2005. "Contracting Out Temporary Help Services in Germany," CESifo Working Paper Series 1580, CESifo Group Munich.
  17. Julia Lane & Kelly S. Mikelson & Pat Sharkey & Doug Wissoker, 2003. "Pathways to work for low-income workers: The effect of work in the temporary help industry," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 22(4), pages 581-598.
  18. Kiefer, Nicholas M, 1988. "Economic Duration Data and Hazard Functions," Journal of Economic Literature, American Economic Association, vol. 26(2), pages 646-79, June.
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