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Temporary Workers in Italy: Who Are They and Where They End Up

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  • Gianna Barbieri
  • Paolo Sestito

Abstract

Temporary work has been an important component of employment growth in Italy since the early 1990s. This paper focus upon labour market transitions of temporary workers in order to test whether temporary work enhances the subsequent labour market chances. We use propensity score matching to compare subsequent employment outcomes of people who have recently acquired a temporary job with those of people who remained unemployed. Individuals' hetero geneity explains a good amount of the raw differences in the subsequent labour market status of temporary workers and the comparison group. Yet there appears to be a sizable net gain from experiencing a temporary work. Our benchmark average estimate is a 30 percentage points rise in the 'satisfactory employment' chances 1 year after the start of the temporary work experience. The net gains are the largest for females and adult people and the areas with low unemployment; moreover, gains are the largest for the most recent years in our sample and for those people who were (according to the propensity score estimates) either least or most likely to exit from unemployment. Copyright 2008 The Authors.

Suggested Citation

  • Gianna Barbieri & Paolo Sestito, 2008. "Temporary Workers in Italy: Who Are They and Where They End Up," LABOUR, CEIS, vol. 22(1), pages 127-166, March.
  • Handle: RePEc:bla:labour:v:22:y:2008:i:1:p:127-166
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    1. Guell, Maia & Petrongolo, Barbara, 2007. "How binding are legal limits? Transitions from temporary to permanent work in Spain," Labour Economics, Elsevier, vol. 14(2), pages 153-183, April.
    2. Larsson, Laura & Lindqvist, Linus & Nordström Skans, Oskar, 2005. "Stepping-stones or dead-ends? An analysis of Swedish replacement contracts," Working Paper Series 2005:18, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    3. Marloes de Graaf-Zijl & Gerard van den Berg & Arjan Heyma, 2011. "Stepping stones for the unemployed: the effect of temporary jobs on the duration until (regular) work," Journal of Population Economics, Springer;European Society for Population Economics, vol. 24(1), pages 107-139, January.
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    5. Andersson Joona, Pernilla & Wadensjö, Eskil, 2004. "Other Forms of Employment: Temporary Employment Agencies and Self-Employment," IZA Discussion Papers 1166, Institute for the Study of Labor (IZA).
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    Cited by:

    1. Maurizio Baussola & Chiara Mussida, 2011. "The natural rate of unemployment and the unemployment gender gap," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1180, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    2. repec:spr:izalbr:v:6:y:2017:i:1:d:10.1186_s40172-017-0054-3 is not listed on IDEAS
    3. Miguel Á. Malo & Begoña Cueto, 2013. "Temporary Contracts across Generations: Long-term effects of a labour market reform at the margin," Cuadernos de Economía - Spanish Journal of Economics and Finance, ELSEVIER, vol. 36(101), pages 84-99, Agosto.
    4. Emanuela Ghignoni, 2009. "Temporary Contracts, Employees' Effort and Labour Productivity: The Evidence for Italy," Economia politica, Società editrice il Mulino, issue 2, pages 279-314.
    5. Chiara Mussida & Matteo Picchio, 2014. "The trend over time of the gender wage gap in Italy," Empirical Economics, Springer, vol. 46(3), pages 1081-1110, May.
    6. Sara Flisi & Marcello Morciano, 2011. "Trends and dynamics in the Italian labour market. An empirical evaluation using RFL data, 1993-2007," Center for the Analysis of Public Policies (CAPP) 0091, Universita di Modena e Reggio Emilia, Dipartimento di Economia "Marco Biagi".
    7. Kristina Nyström & Gulzat Zhetibaeva Elvung, 2015. "New Firms as Employers: The Wage Penalty for Voluntary and Involuntary Job Switchers," LABOUR, CEIS, vol. 29(4), pages 348-366, December.
    8. Bosio, Giulio & Leonardi, Marco, 2011. "The Impact of Bologna Process on the Graduate Labour Market: Demand and Supply," IZA Discussion Papers 5789, Institute for the Study of Labor (IZA).
    9. Beckmann, Michael & Kuhn, Dieter, 2012. "Flexibility vs. screening : the performance effects of temporary agency work strategies," Working papers 2012/03, Faculty of Business and Economics - University of Basel.
    10. Anna Amilon & Mårten Wallette, 2009. "Work Absence - A Signalling Factor for Temporary Workers?," LABOUR, CEIS, vol. 23(1), pages 171-194, March.
    11. Niall O’Higgins, 2011. "Italy: Limited Policy Responses and Industrial Relations in Flux, Leading to Aggravated Inequalities," Chapters,in: Work Inequalities in the Crisis, chapter 8 Edward Elgar Publishing.
    12. Olga Demidova & Marcello Signorelli, 2010. "The Impact of Crises on Youth Unemployment of Russian Regions: An Empirical Analysis," Quaderni del Dipartimento di Economia, Finanza e Statistica 78/2010, Università di Perugia, Dipartimento Economia.
    13. Giovanni S.F. Bruno & Floro E. Caroleo & Orietta Dessy, 2013. "Stepping stones versus dead end jobs: exits from temporary contracts in Italy after the 2003 reform," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 121(1), pages 31-62.
    14. Brigitte Granville & Jaume Martorell Cruz, 2016. "Squared Segmentation: How the Insider/Outsider divide across Public/Private Employment shapes attitudes towards markets," Working Papers 78, Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research.
    15. Emanuela Ghignoni, 2006. "Human capital, unemployment, and probability of transition to permanent employment in the Italian regional labour markets," Working Papers 93, University of Rome La Sapienza, Department of Public Economics.
    16. Floro Ernesto Caroleo & Francesco Pastore, 2009. "Le cause del(l') (in)successo lavorativo dei giovani," Economia & lavoro, Carocci editore, issue 3, pages 107-107.
    17. O'Higgins, Niall, 2012. "This Time It's Different? Youth Labour Markets During 'The Great Recession'," IZA Discussion Papers 6434, Institute for the Study of Labor (IZA).
    18. Michael Gebel, 2013. "Is a Temporary Job Better than Unemployment?: A Cross-Country Comparison Based on British, German, and Swiss Panel Data," SOEPpapers on Multidisciplinary Panel Data Research 543, DIW Berlin, The German Socio-Economic Panel (SOEP).
    19. Marco Centra & Valentina Gualtieri, 2015. "La domanda di lavoro stabile nel periodo di crisi economica: un’analisi sul territorio italiano stable job demand during economic crisis: an italian context analysis," ECONOMIA E SOCIETÀ REGIONALE, FrancoAngeli Editore, vol. 2015(1), pages 53-71.
    20. Ferrari, Filippo, 2011. "Lo sviluppo delle competenze nei contesti precari
      [Skills development in precariousness: the dark side of flexibility?]
      ," MPRA Paper 33284, University Library of Munich, Germany.

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