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The evolution of job stability in Canada: trends and comparisons with U.S. results

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  • Andrew Heisz

Abstract

. Using data from the 1976–2001 Canadian Labour Force Survey, we examine the stability of currently held jobs and find no period‐long drop in job stability. However, job stability declined across the 1980s and rose across the 1990s for workers with less than one year of tenure. When 1987 and 1995 are compared, it can be seen that job stability was steady in Canada but fell slightly in the United States, with the difference concentrated among medium tenured workers. We suggest that this difference was due to a slower recovery in Canada in the 1990s, which caused Canadian workers to be less mobile. JEL classification: J63 L’évolution de la stabilité des emplois au Canada: tendances et comparaisons avec les résultats aux Etats‐Unis. En utilisant les données de l’Enquête sur la population active pour la période de 1976 à 2001, l’auteur examine la stabilité des emplois détenus pour le moment et trouve qu’il n’y a pas eu de chute de la stabilité des emplois en longue période. Cependant, la stabilité des emplois a chuté dans les années 1980 et crû dans les années 1990 pour les travailleurs qui détenaient leur emploi depuis moins d’un an. Si l’on compare 1987 et 1995, la stabilité des emplois se maintient au Canada, mais chute un peu aux Etats‐Unis: la différence est concentrée dans le groupe de travailleurs qui ne détenaient leur emploi que depuis une période moyennement longue. On suggère que les différences entre les deux pays sont attribuables à une reprise économique plus lente au Canada dans les années 1990 qui aurait rendu les travailleurs canadiens moins mobiles.

Suggested Citation

  • Andrew Heisz, 2005. "The evolution of job stability in Canada: trends and comparisons with U.S. results," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 38(1), pages 105-127, February.
  • Handle: RePEc:wly:canjec:v:38:y:2005:i:1:p:105-127
    DOI: 10.1111/j.0008-4085.2005.00271.x
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    File URL: https://doi.org/10.1111/j.0008-4085.2005.00271.x
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    References listed on IDEAS

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    1. Neumark, David & Polsky, Daniel & Hansen, Daniel, 1999. "Has Job Stability Declined Yet? New Evidence for the 1990s," Journal of Labor Economics, University of Chicago Press, vol. 17(4), pages 29-64, October.
    2. Louis N. Christofides & C. J. McKenna, 1993. "Employment Flows and Job Tenure in Canada," Canadian Public Policy, University of Toronto Press, vol. 19(2), pages 145-161, June.
    3. Henry S. Farber, 1995. "Are Lifetime Jobs Disappearing? Job Duration in the United States: 1973-1993," NBER Working Papers 5014, National Bureau of Economic Research, Inc.
    4. repec:pri:indrel:dsp01ng451h49q is not listed on IDEAS
    5. repec:fth:prinin:341 is not listed on IDEAS
    6. Henry S. Farber, 1995. "Are Lifetime Jobs Disappearing? Job Duration in the United States: 1973-1993," Working Papers 720, Princeton University, Department of Economics, Industrial Relations Section..
    7. Christofides, Louis N & McKenna, C J, 1996. "Unemployment Insurance and Job Duration in Canada," Journal of Labor Economics, University of Chicago Press, vol. 14(2), pages 286-312, April.
    8. Heisz, Andrew, 2002. "The Evolution of Job Stability in Canada: Trends and Comparisons to U.S. Results," Analytical Studies Branch Research Paper Series 2002162e, Statistics Canada, Analytical Studies Branch.
    9. Stephen W. Salant, 1977. "Search Theory and Duration Data: A Theory of Sorts," The Quarterly Journal of Economics, Oxford University Press, vol. 91(1), pages 39-57.
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    Citations

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    Cited by:

    1. Blundell, Richard & Francesconi, Marco & van der Klaauw, Wilbert, 2011. "Anatomy of Welfare Reform Evaluation: Announcement and Implementation Effects," IZA Discussion Papers 6050, Institute of Labor Economics (IZA).
    2. Pierre Brochu & Till Gross & Christopher Worswick, 2020. "Temporary foreign workers and firms: Theory and Canadian evidence," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 53(3), pages 871-915, August.
    3. Michele Campolieti, 2011. "The ins and outs of unemployment in Canada, 1976–2008," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 44(4), pages 1331-1349, November.
    4. Pierre Brochu, 2013. "The source of the new Canadian job stability patterns," Canadian Journal of Economics, Canadian Economics Association, vol. 46(2), pages 412-440, May.
    5. Pierre Brochu & Lu Zhou, 2009. "Is job insecurity on the rise? Evidence from Canadian perception data," Canadian Journal of Economics, Canadian Economics Association, vol. 42(4), pages 1305-1325, November.
    6. Jianbo Liu & Xiaodong Zheng & Marie Parker & Xiangming Fang, 2020. "Childhood Left-Behind Experience and Employment Quality of New-Generation Migrants in China," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 39(4), pages 691-718, August.

    More about this item

    JEL classification:

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

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