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New Evidence on the Cyclicality of Employer-to-Employer Flows from Canada

Author

Listed:
  • Alice Nakamura
  • Emi Nakamura
  • Kyle Phong
  • Jón Steinsson

Abstract

This paper presents new estimates of gross worker flows for Canada for the sample period 1978 to 2016. We use administrative data from the Canadian Record of Employment in combination with the Canadian Labor Force Survey to estimate employer-to-employer flows in addition to flows between labor market states. We highlight three main results: Roughly two-thirds of all job separations are employer-to-employer flows. Employer-to-Employer flows are highly procyclical. The combination of these two results means that total job separations are procyclical. If employer-to-employer flows improve match quality, our results imply that recessions have a sullying effect on the labor market.

Suggested Citation

  • Alice Nakamura & Emi Nakamura & Kyle Phong & Jón Steinsson, 2019. "New Evidence on the Cyclicality of Employer-to-Employer Flows from Canada," AEA Papers and Proceedings, American Economic Association, vol. 109, pages 456-460, May.
    • Handle: RePEc:aea:apandp:v:109:y:2019:p:456-60
    Note: DOI: 10.1257/pandp.20191053
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    Citations

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    Cited by:

    1. Serdar Birinci & Youngmin Park & Kurt See, 2023. "The Heterogeneous Impacts of Job Displacement: Evidence from Canadian Job Separation Records," Staff Working Papers 23-55, Bank of Canada.
    2. Xavier St‐Denis & Matissa Hollister, 2023. "Two paths towards job instability: Comparing changes in the distribution of job tenure duration in the United Kingdom and Germany, 1984–2014," British Journal of Industrial Relations, London School of Economics, vol. 61(3), pages 723-751, September.
    3. Lalé, Etienne, 2024. "Assessing Labor Market Conditions in Canada with Public-Use Microdata," IZA Discussion Papers 16722, Institute of Labor Economics (IZA).
    4. Szabó, Lajos Tamás & Erdélyi, Levente, 2024. "Munkaerő-áramlás Magyarországon 2002-2021 között teljes körű adminisztratív adatok alapján [Labour force flows in Hungary 2002-2021 based on comprehensive administrative data]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 728-754.
    5. Xavier St-Denis & Matissa Hollister, 2024. "Are All the Stable Jobs Gone? The Transformation of the Worker–Firm Relationship and Trends in Job Tenure Duration and Separations in Canada, 1976–2015," Work, Employment & Society, British Sociological Association, vol. 38(3), pages 657-683, June.

    More about this item

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

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