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Job Creation and Destruction in Recession

  • Lawless, Martina

    (Central Bank of Ireland)

This note provides an update on rates of job creation and destruction in the light of the dramatic slowdown in the economy. Firm-level data on employment changes has been collected by Forf´as for almost forty years and allows us to compare the current rates of job turnover to those in previous recessionary episodes. The speed of the slowdown in job creation and increase in job destruction are found to be unprecedented, although the total decline in employment was greater in the 1980s. Higher rates of job destruction were particularly evident in smaller and in Irish-owned firms. Net falls in employment were observed in almost all sectors. We show however that jobs also continued to be created across the economy, albeit at a slower pace than previously.

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File URL: http://www.centralbank.ie/publications/Documents/Job%20Creation.pdf
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Paper provided by Central Bank of Ireland in its series Economic Letters with number 01/EL/12.

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Date of creation: Jan 2012
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Handle: RePEc:cbi:ecolet:01/el/12
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  1. Konings, Jozef, 1995. "Job Creation and Job Destruction in the UK Manufacturing Sector," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(1), pages 5-24, February.
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