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Stepping stones versus dead end jobs: exits from temporary contracts in Italy after the 2003 reform

Author

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  • Giovanni S.F. Bruno

    (Bocconi University, Milan)

  • Floro E. Caroleo

    (University of Naples Parthenope and CRISEI, Naples)

  • Orietta Dessy

    (Ca’ Foscari University, Venice and Catholic University of Milan, Milan)

Abstract

This paper studies labour market transitions out of temporary jobs in Italy, focussing on the period that immediately follows the last 2003 labour market reform, and immediately preceding the economic downturn of the second half of 2007. The data-set used is the 2004-2007 IT-SILC individual panel. We apply a discrete-time duration analysis and estimate a competing-risk model for assessing to what extent, and for whom, starting a temporary job after 2004 results within a twoyear span in a stepping stone to permanent employment rather than a dead end. We find that temporary contracts have a positive impact only on the transition of men to permanent employment. School leavers, workers in the South, as well as women, are instead penalized after a temporary job. For women longer spells of temporary employment are not matched by a higher probability of finding a permanent contract

Suggested Citation

  • 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.
  • Handle: RePEc:vep:journl:y:2013:v:121:i:1:p:31-62
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    Cited by:

    1. Maria Giovanna Bosco & Elisa Valeriani, 2018. "The Road to Permanent Work in Italy: “It’s Getting Dark, Too Dark to See”," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 4(3), pages 385-419, November.
    2. Matteo Picchio & Mattia Filomena, 2021. "Are Temporary Jobs Stepping Stones Or Dead Ends? A Meta-Analytical Review Of The Literature," Working Papers 455, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    3. repec:ilo:ilowps:481497 is not listed on IDEAS
    4. Wolfgang Auer & Natalia Danzer, 2016. "Fixed-Term Employment and Fertility: Evidence from German Micro Data," CESifo Economic Studies, CESifo, vol. 62(4), pages 595-623.
    5. Floro Ernesto Caroleo & Antonella Rocca & Paolo Mazzocchi & Claudio Quintano, 2020. "Being NEET in Europe Before and After the Economic Crisis: An Analysis of the Micro and Macro Determinants," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 149(3), pages 991-1024, June.
    6. Paolo Barbieri & Giorgio Cutuli, 2018. "Dual Labour Market Intermediaries in Italy: How to Lay off “Lemons”—Thereby Creating a Problem of Adverse Selection," De Economist, Springer, vol. 166(4), pages 477-502, December.
    7. Auer, Wolfgang, 2015. "Health Consequences of Starting a Career on a Fixed-Term Contract," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113080, Verein für Socialpolitik / German Economic Association.
    8. Francesco Bartolucci & Aleksandra Baschina & Giovanni S. F. Bruno & Olga Demidova & Marcello Signorelli, 2015. "Determinants of Job Satisfaction in Young Russian Workers," Discussion Papers 7_2015, CRISEI, University of Naples "Parthenope", Italy.
    9. Le Barbanchon, Thomas. & Malherbet, Franck., 2013. "An anatomy of the French labour market : country case studies on labour market segmentation," ILO Working Papers 994814973402676, International Labour Organization.
    10. Wolfgang Auer & Natalia Danzer, 2015. "Uncertainty in the labour market: How does fixed-term employment affect fertility and mental health of the young generation?," IBS Working Papers 6/2015, Instytut Badan Strukturalnych.
    11. Emanuele Ciani & Guido de Blasio, 2015. "Getting stable: an evaluation of the incentives for permanent contracts in Italy," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-29, December.
    12. G. S. F. Bruno & F. E. Caroleo & O. Dessy, 2014. "Temporary Contracts and Young Workers’ Job Satisfaction in Italy," AIEL Series in Labour Economics, in: Miguel Ángel Malo & Dario Sciulli (ed.), Disadvantaged Workers, edition 127, chapter 0, pages 95-120, Springer.
    13. Wolfgang Auer, 2018. "Empirische Aufsätze zu den sozioökonomischen Konsequenzen von ökonomischer Unsicherheit," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 79, August.
    14. d'Agostino, Giorgio & Pieroni, Luca & Scarlato, Margherita, 2015. "Revisiting the Effects of Enhanced Flexibility on the Italian Labour Market," MPRA Paper 63239, University Library of Munich, Germany.
    15. Floro Ernesto Caroleo & Elvira Ciociano & Sergio Destefanis, 2017. "Youth Labour-Market Performance, Institutions and Vet Systems: A Cross-Country Analysis," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 3(1), pages 39-69, March.
    16. Floro Ernesto Caroleo & Elvira Ciociano & Sergio Destefanis, 2017. "The role of the education systems and the labour market institutions in enhancing youth employment: a cross-country analysis," Discussion Papers 1_2017, CRISEI, University of Naples "Parthenope", Italy.
    17. Bachmann, Ronald & Bechara, Peggy & Kramer, Anica & Rzepka, Sylvi, 2014. "A Study on Labour Market Transitions Using Micro-data from the Statistics on Income and Living Conditions (SILC). Final Report," RWI Projektberichte, RWI - Leibniz-Institut für Wirtschaftsforschung, number 111484, September.
    18. d'Agostino, Giorgio & Pieroni, Luca & Scarlato, Margherita, 2018. "Evaluating the effects of labour market reforms on job flows: The Italian case," Economic Modelling, Elsevier, vol. 68(C), pages 178-189.
    19. Chiara Mussida & Luca Zanin, 2020. "I found a better job opportunity! Voluntary job mobility of employees and temporary contracts before and after the great recession in France, Italy and Spain," Empirical Economics, Springer, vol. 59(1), pages 47-98, July.

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    More about this item

    Keywords

    multinomial logit; discrete duration data; temporary jobs;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers

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