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The cost of job displacement in Italy

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  • Francesco Serti

Abstract

Administrative data from INPS (Italian Institute for Social Security) on Italian high tenure workers job-histories (15 years, from 1985 to 1999) is used to quantify the temporal pattern of the effect of displacement on workers’ earnings, employment and wages. Moreover, I distinguish different groups of displaced workers (with respect the timing of displacement and its cause) and I also propose a picture of the consequences of displacement with respect to workers’ personal and firm-related characteristics. I take into account unobserved heterogeneity by using an unobserved effects linear panel data model.

Suggested Citation

  • Francesco Serti, 2007. "The cost of job displacement in Italy," LABORatorio R. Revelli Working Papers Series 66, LABORatorio R. Revelli, Centre for Employment Studies.
    • Handle: RePEc:cca:wplabo:66
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    References listed on IDEAS

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    1. Gibbons, Robert & Katz, Lawrence F, 1991. "Layoffs and Lemons," Journal of Labor Economics, University of Chicago Press, vol. 9(4), pages 351-380, October.
    2. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097, Elsevier.
    3. Stevens, Ann Huff, 1997. "Persistent Effects of Job Displacement: The Importance of Multiple Job Losses," Journal of Labor Economics, University of Chicago Press, vol. 15(1), pages 165-188, January.
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    Keywords

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    JEL classification:

    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings

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