IDEAS home Printed from https://ideas.repec.org/a/bla/brjirl/v59y2021i3p899-927.html
   My bibliography  Save this article

Hiring Frictions in a Regulated Occupation: Evidence from US Laboratories

Author

Listed:
  • Andrew Weaver

Abstract

Determining the nature and source of hiring frictions is an important topic for policymakers, as these frictions impact both worker outcomes and economic growth. To date, there has been very little US‐based research that has combined detailed measures of employer skill requirements, market structure, organizational characteristics and hiring difficulties at the establishment level. Prior to this study, there has been almost no research that has investigated these issues in the context of a highly regulated industry such as healthcare, which employs more workers than either retail or manufacturing. Using a unique, nationally representative dataset, this study finds that organizational practices and market structure are more relevant predictors of hiring difficulties for laboratory technologists than factors, such as skill mismatch, that are often assumed to be of primary importance.

Suggested Citation

  • Andrew Weaver, 2021. "Hiring Frictions in a Regulated Occupation: Evidence from US Laboratories," British Journal of Industrial Relations, London School of Economics, vol. 59(3), pages 899-927, September.
  • Handle: RePEc:bla:brjirl:v:59:y:2021:i:3:p:899-927
    DOI: 10.1111/bjir.12570
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/bjir.12570
    Download Restriction: no

    File URL: https://libkey.io/10.1111/bjir.12570?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Morris M. Kleiner & Alan B. Krueger, 2013. "Analyzing the Extent and Influence of Occupational Licensing on the Labor Market," Journal of Labor Economics, University of Chicago Press, vol. 31(S1), pages 173-202.
    2. Brunello, Giorgio & Wruuck, Patricia, 2019. "Skill Shortages and Skill Mismatch in Europe: A Review of the Literature," IZA Discussion Papers 12346, Institute of Labor Economics (IZA).
    3. Daron Acemoglu & Jörn-Steffen Pischke, 1998. "Why Do Firms Train? Theory and Evidence," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 113(1), pages 79-119.
    4. Green, Francis & Machin, Stephen & Wilkinson, David, 1998. "The Meaning and Determinants of Skills Shortages," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 60(2), pages 165-187, May.
    5. Gary Solon & Steven J. Haider & Jeffrey M. Wooldridge, 2015. "What Are We Weighting For?," Journal of Human Resources, University of Wisconsin Press, vol. 50(2), pages 301-316.
    6. David Autor & Anna Salomons, 2018. "Is Automation Labor-Displacing? Productivity Growth, Employment, and the Labor Share," NBER Working Papers 24871, National Bureau of Economic Research, Inc.
    7. Andreas I Mueller & Damian Osterwalder & Josef Zweimüller & Andreas Kettemann, 2024. "Vacancy Durations and Entry Wages: Evidence from Linked Vacancy–Employer–Employee Data," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 91(3), pages 1807-1841.
    8. Nicholas Bloom & John Van Reenen, 2007. "Measuring and Explaining Management Practices Across Firms and Countries," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1351-1408.
    9. Faberman, R. Jason & Menzio, Guido, 2018. "Evidence on the relationship between recruiting and the starting wage," Labour Economics, Elsevier, vol. 50(C), pages 67-79.
    10. Green, Francis, 2013. "Skills and Skilled Work: An Economic and Social Analysis," OUP Catalogue, Oxford University Press, number 9780199642854.
    11. D. Mark Anderson & Ryan Brown & Kerwin Kofi Charles & Daniel I. Rees, 2016. "The Effect of Occupational Licensing on Consumer Welfare: Early Midwifery Laws and Maternal Mortality," NBER Working Papers 22456, National Bureau of Economic Research, Inc.
    12. Morris M. Kleiner & Evan J. Soltas, 2019. "A Welfare Analysis of Occupational Licensing in U.S. States," Staff Report 590, Federal Reserve Bank of Minneapolis.
    13. Ichniowski, Casey & Shaw, Kathryn & Prennushi, Giovanna, 1997. "The Effects of Human Resource Management Practices on Productivity: A Study of Steel Finishing Lines," American Economic Review, American Economic Association, vol. 87(3), pages 291-313, June.
    14. Timothy F. Bresnahan & Erik Brynjolfsson & Lorin M. Hitt, 2002. "Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-Level Evidence," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 339-376.
    15. Russell Weinstein, 2022. "Local Labor Markets and Human Capital Investments," Journal of Human Resources, University of Wisconsin Press, vol. 57(5), pages 1498-1525.
    16. Jesse Rothstein, 2012. "The Labor Market Four Years into the Crisis: Assessing Structural Explanations," ILR Review, Cornell University, ILR School, vol. 65(3), pages 467-500, July.
    17. Brunello, Giorgio & Wruuck, Patricia & Maurin, Laurent, 2019. "Skill shortages and skill mismatch in Europe: A review of the literature," EIB Working Papers 2019/05, European Investment Bank (EIB).
    18. David Card, 1993. "Using Geographic Variation in College Proximity to Estimate the Return to Schooling," Working Papers 696, Princeton University, Department of Economics, Industrial Relations Section..
    19. Erik Brynjolfsson & Tom Mitchell & Daniel Rock, 2018. "What Can Machines Learn, and What Does It Mean for Occupations and the Economy?," AEA Papers and Proceedings, American Economic Association, vol. 108, pages 43-47, May.
    20. van Ours, J C & Ridder, G, 1993. "Vacancy Durations: Search or Selection?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 55(2), pages 187-198, May.
    21. Barron, John M & Berger, Mark C & Black, Dan A, 1997. "Employer Search, Training, and Vacancy Duration," Economic Inquiry, Western Economic Association International, vol. 35(1), pages 167-192, January.
    22. Andrew Weaver & Paul Osterman, 2017. "Skill Demands and Mismatch in U.S. Manufacturing," ILR Review, Cornell University, ILR School, vol. 70(2), pages 275-307, March.
    23. Michael J. Handel, 2016. "What do people do at work? [Was machen Menschen bei der Arbeit?]," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 49(2), pages 177-197, October.
    24. Morris M. Kleiner, 2006. "Licensing Occupations: Ensuring Quality or Restricting Competition?," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number lo.
    25. repec:fth:prinin:317 is not listed on IDEAS
    26. David Card, 1993. "Using Geographic Variation in College Proximity to Estimate the Return to Schooling," NBER Working Papers 4483, National Bureau of Economic Research, Inc.
    27. Richard Williams, 2010. "Fitting heterogeneous choice models with oglm," Stata Journal, StataCorp LP, vol. 10(4), pages 540-567, December.
    28. Peter H. Cappelli, 2015. "Skill Gaps, Skill Shortages, and Skill Mismatches," ILR Review, Cornell University, ILR School, vol. 68(2), pages 251-290, March.
    29. Yatchew, Adonis & Griliches, Zvi, 1985. "Specification Error in Probit Models," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 134-139, February.
    30. Rosemary Batt & Alexander J.S. Colvin & Jeffrey Keefe, 2002. "Employee Voice, Human Resource Practices, and Quit Rates: Evidence from the Telecommunications Industry," ILR Review, Cornell University, ILR School, vol. 55(4), pages 573-594, July.
    31. Abbring, J. H. & van Ours, J. C., 1994. "Sequential or non-sequential employers' search?," Economics Letters, Elsevier, vol. 44(3), pages 323-328.
    32. Christina DePasquale & Kevin Stange, 2016. "Labor Supply Effects of Occupational Regulation: Evidence from the Nurse Licensure Compact," NBER Working Papers 22344, National Bureau of Economic Research, Inc.
    33. John Paul Macduffie, 1995. "Human Resource Bundles and Manufacturing Performance: Organizational Logic and Flexible Production Systems in the World Auto Industry," ILR Review, Cornell University, ILR School, vol. 48(2), pages 197-221, January.
    34. Morris M. Kleiner & Evan J. Soltas, 2019. "A Welfare Analysis of Occupational Licensing in U.S. States," NBER Working Papers 26383, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Andrew Weaver, 2022. "Who Has Trouble Hiring? Evidence from a National IT Survey," ILR Review, Cornell University, ILR School, vol. 75(3), pages 608-637, May.
    2. Oyer, Paul & Schaefer, Scott, 2011. "Personnel Economics: Hiring and Incentives," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 4, chapter 20, pages 1769-1823, Elsevier.
    3. Fibla Gasparín, Ma. Teresa, 2010. "Productivity in southern European small firms: When and how work organization complements process innovation," Working Papers 2072/179600, Universitat Rovira i Virgili, Department of Economics.
    4. Kihwan Bae & Edward Timmons, 2023. "Now You Can Take It with You: Effects of Occupational Credential Recognition on Labor Market Outcomes," Working Papers 23-03, Department of Economics, West Virginia University.
    5. Bartel, Ann P. & Freeman, Richard B. & Ichniowski, Casey & Kleiner, Morris M., 2011. "Can a workplace have an attitude problem? Workplace effects on employee attitudes and organizational performance," Labour Economics, Elsevier, vol. 18(4), pages 411-423, August.
    6. Boerner, Lars & Severgnini, Battista, 2015. "Time for growth," LSE Research Online Documents on Economics 64495, London School of Economics and Political Science, LSE Library.
    7. Edward P. Lazear, 1995. "Personnel Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262121883, April.
    8. Spyros Arvanitis & Florian Seliger & Tobias Stucki, 2013. "The Relative Importance of Human Resource Management Practices for a Firm's Innovation Performance," KOF Working papers 13-341, KOF Swiss Economic Institute, ETH Zurich.
    9. Bryan Hong & Lorenz Kueng & Mu-Jeung Yang, 2015. "Estimating Management Practice Complementarity between Decentralization and Performance Pay," NBER Working Papers 20845, National Bureau of Economic Research, Inc.
    10. Erik Brynjolfsson & Kristina McElheran, 2016. "Data in Action: Data-Driven Decision Making in U.S. Manufacturing," Working Papers 16-06, Center for Economic Studies, U.S. Census Bureau.
    11. Bruno Deffains & Dominique Demougin, 2023. "Capitation taxes and the regulation of professional services," European Journal of Law and Economics, Springer, vol. 55(2), pages 167-193, April.
    12. Michael Waldman, 2012. "Theory and Evidence in Internal LaborMarkets [The Handbook of Organizational Economics]," Introductory Chapters,, Princeton University Press.
    13. Pouliakas, Konstantinos & Russo, Giovanni, 2015. "Heterogeneity of Skill Needs and Job Complexity: Evidence from the OECD PIAAC Survey," IZA Discussion Papers 9392, Institute of Labor Economics (IZA).
    14. Erik Brynjolfsson & Andrew McAfee & Michael Sorell & Feng Zhu, 2007. "Scale without mass: business process replication and industry dynamics," Proceedings, Federal Reserve Bank of San Francisco, issue Nov.
    15. John Forth & Alex Bryson, 2019. "Management practices and SME performance," Scottish Journal of Political Economy, Scottish Economic Society, vol. 66(4), pages 527-558, September.
    16. Katharine G. Abraham & Melissa S. Kearney, 2020. "Explaining the Decline in the US Employment-to-Population Ratio: A Review of the Evidence," Journal of Economic Literature, American Economic Association, vol. 58(3), pages 585-643, September.
    17. Storey, D. J., 2002. "Education, training and development policies and practices in medium-sized companies in the UK: do they really influence firm performance?," Omega, Elsevier, vol. 30(4), pages 249-264, August.
    18. Mengjie Lyu & Tingting Zhang & Hua Ye, 2023. "Labour market impacts of occupational licensing and delicensing: New evidence from China," British Journal of Industrial Relations, London School of Economics, vol. 61(4), pages 895-921, December.
    19. Bagger, Jesper & Fontaine, Francois & Galenianos, Manolis & Trapeznikova, Ija, 2022. "Vacancies, employment outcomes and firm growth: Evidence from Denmark," Labour Economics, Elsevier, vol. 75(C).
    20. David McKenzie & Christopher Woodruff, 2017. "Business Practices in Small Firms in Developing Countries," Management Science, INFORMS, vol. 63(9), pages 2967-2981, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:brjirl:v:59:y:2021:i:3:p:899-927. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/lsepsuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.