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Labour Market Flexibility in the UK: Regional Variations and the Role of Global/Local Forces

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  • Vassilis Monastiriotis

    (London School of Economics)

Abstract

Despite the interest in the issue of labour market flexibility, there is markedly little research attempting to measure, let alone evaluate, the extent to which flexible labour arrangements have penetrated labour relations in the UK and elsewhere. One of the implications of this is that little is known about the specific forms that labour market flexibility takes across and within each country. Given this, it comes as little surprise that the discussion about the link between globalization and flexibility has remained largely theoretical, with only a few references to usually incidental anecdotal evidence. This article exploits a unique set of labour market flexibility indicators that have been developed at the regional level for the UK over the period 1979-98 and examines empirically the relationship between globalization and flexibility. Through a spatial-temporal exploratory analysis, significant patterns of geographical and functional specialization (in levels and types of flexibility) are identified and then related to local structural factors and demand conditions and to global influences. Global forces are found to have played a significant role for the patterns observed. The implications of this finding are discussed in the concluding section.

Suggested Citation

  • Vassilis Monastiriotis, 2005. "Labour Market Flexibility in the UK: Regional Variations and the Role of Global/Local Forces," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 26(3), pages 443-477, August.
    • Handle: RePEc:sae:ecoind:v:26:y:2005:i:3:p:443-477
    DOI: 10.1177/0143831X05054743
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    References listed on IDEAS

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    1. Rebecca M. Blank & Richard B. Freeman, 1994. "Evaluating the Connection between Social Protection and Economic Flexibility," NBER Chapters, in: Social Protection versus Economic Flexibility: Is There a Trade-Off?, pages 21-42, National Bureau of Economic Research, Inc.
    2. Rebecca M. Blank, 1994. "Introduction to "Social Protection versus Economic Flexibility: Is There a Trade-Off?"," NBER Chapters, in: Social Protection versus Economic Flexibility: Is There a Trade-Off?, pages 1-20, National Bureau of Economic Research, Inc.
    3. Rebecca M. Blank, 1994. "Social Protection versus Economic Flexibility: Is There a Trade-Off?," NBER Books, National Bureau of Economic Research, Inc, number blan94-1, January.
    4. Gilles Duranton & Vassilis Monastiriotis, 2002. "Mind the Gaps: The Evolution of Regional Earnings Inequalities in the U.K., 1982–1997," Journal of Regional Science, Wiley Blackwell, vol. 42(2), pages 219-256, May.
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