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Technology, employment and skills: A look into job duration

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  • Castro Silva, Hugo
  • Lima, Francisco

Abstract

Technological change, being the adoption of new production processes or launching new products, affects employment and the relative demand for skills. In this context, we aim to study workers’ job duration and the role of technology-skills complementarities in manufacturing firms. Using a Portuguese matched employer–employee longitudinal data set, we apply discrete-time duration models allowing for unobserved heterogeneity. Our results show that technological intensity reinforces the positive relationship between skills and job duration. We also find that the accumulation of specific human capital measured by time dependence plays a stronger role on reducing the hazard of job separation in more technology-intensive firms.

Suggested Citation

  • Castro Silva, Hugo & Lima, Francisco, 2017. "Technology, employment and skills: A look into job duration," Research Policy, Elsevier, vol. 46(8), pages 1519-1530.
    • Handle: RePEc:eee:respol:v:46:y:2017:i:8:p:1519-1530
    DOI: 10.1016/j.respol.2017.07.007
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    More about this item

    Keywords

    Technology; Employment; Job duration; Skills; Human capital; Manufacturing;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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