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Worker turnover: hire, separations and employment growth a the employer level

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  • Gareth Leeves

    () (University of Queensland)

Abstract

The majority of worker movements into and out of establishments are associated with the turnover of workers not a change in the number of jobs. This paper focuses on establishment level worker turnover in excess of that required to accommodate changes in employment. To date, there has been no Australian empirical evidence of this important aspect of resource reallocation. This paper makes use of recently available data from the Business Longitudinal Survey to provide some evidence on worker turnover at the establishment and industry level. Rates of worker turnover appear to depend on the recent history of employment expansion within the establishment as predicted by job-matching theories. However, there are industry-specific and establishment-specific variations in turnover rates. Persistent differences in turnover rates across establishments suggest turnover may be a function of management ability to select workers or part of a deliberate hiring strategy, some possible implications of this are considered.

Suggested Citation

  • Gareth Leeves, 2000. "Worker turnover: hire, separations and employment growth a the employer level," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 4(4), pages 280-295, December.
  • Handle: RePEc:ozl:journl:v:4:y:2001:i:4:p:280-295
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    More about this item

    Keywords

    Labour Turnover; Employment Determination; Demand for Labour;

    JEL classification:

    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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