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Is a Temporary Job Better Than Unemployment? A Cross-country Comparison Based on British, German, and Swiss Panel Data

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  • Gebel, Michael

Abstract

While many previous studies on temporary work have found disadvantages for temporary workers compared to workers with a permanent contract, this study makes the comparison to the alternative of unemployment. Applying a dynamic propensity-score matching approach based on British, German, and Swiss panel data, it is shown that taking up a temporary job increases the employment chances during the subsequent five years in Germany and the United Kingdom. Moreover, the chances of having a permanent contract remain higher and a persistent wage premium can be found. In contrast, no long-run advantages can be found in the case of the flexible Swiss labour market.

Suggested Citation

  • Gebel, Michael, 2013. "Is a Temporary Job Better Than Unemployment? A Cross-country Comparison Based on British, German, and Swiss Panel Data," Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften, Duncker & Humblot, Berlin, vol. 133(2), pages 143-155.
    • Handle: RePEc:aeq:aeqsjb:v133_y2013_i2_q2_p143-155
    DOI: 10.3790/schm.133.2.143
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    More about this item

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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