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Temporary Jobs: Stepping Stones or Dead Ends?

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  • Alison L. Booth
  • Marco Francesconi
  • Jeff Frank

Abstract

In Britain about 7% of male employees and 10% of female employees are in temporary jobs. In contrast to much of continental Europe - with stricter employment protection provisions - this proportion has been relatively stable over the 1990s. Using data from the British Household Panel Survey, and informed by relevant theory relating to probation, sorting and human capital investment, we find that temporary workers report lower levels of job satisfaction, receive less work-related training, and are less well-paid than their counterparts in permanent employment. However, there is some evidence that fixed-term contracts are a stepping stone to permanent work. Women (but not men) who start in fixed-term employment and move to permanent jobs fully catch up to those who start in permanent jobs.

Suggested Citation

  • Alison L. Booth & Marco Francesconi & Jeff Frank, 2002. "Temporary Jobs: Stepping Stones or Dead Ends?," LABORatorio R. Revelli Working Papers Series 8, LABORatorio R. Revelli, Centre for Employment Studies.
  • Handle: RePEc:cca:wplabo:8
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    References listed on IDEAS

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    More about this item

    Keywords

    temporary jobs; fixed term contracts; individual unobserved heterogeneity; job-specific effects.;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

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