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Job Quality in Segmented Labor Markets: The Israeli Case

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  • Neuman, Shoshana

Abstract

Till the early-1990s the collectively-bargained labor contract (between the trade-union that presented the employees, and the employer or the employers'-association) was the norm, granting salaried workers a stable and protected labor contract. Thereafter, and more significantly after 1995, the share of unionized workers dropped constantly, to almost half of its peak level (of more than 80 percent). In parallel, two other types of contracts became more common: personal temporary contracts (between an individual worker and his employer), and contracts between a labor-contractor and employees who are employed in a triangular mode of employment (employee-contractor-client). The latter involves precarious employment and is more common among the more vulnerable sub-populations of new-immigrants, disabled individuals, Israeli-Arabs, foreign-workers and women. The contractual changes resulted in work instability, growth of the secondary labor market and segmentation. Efforts to protect the disadvantaged secondary labor-market workers include legislation, reforms, new regulations, and enforcement of all the above.

Suggested Citation

  • Neuman, Shoshana, 2015. "Job Quality in Segmented Labor Markets: The Israeli Case," CEPR Discussion Papers 10734, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:10734
    as

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    References listed on IDEAS

    as
    1. Stewart, Mark B & Greenhalgh, Christine A, 1984. "Work History Patterns and the Occupational Attainment of Women," Economic Journal, Royal Economic Society, vol. 94(375), pages 493-519, September.
    2. Richard B. Freeman, 1980. "Unionism and the Dispersion of Wages," ILR Review, Cornell University, ILR School, vol. 34(1), pages 3-23, October.
    3. Yitchak Haberfeld, 1995. "Why Do Workers Join Unions? The Case of Israel," ILR Review, Cornell University, ILR School, vol. 48(4), pages 656-670, July.
    4. Leif Danziger & Shoshana Neuman, 2005. "Delays in Renewal of Labor Contracts: Theory and Evidence," Journal of Labor Economics, University of Chicago Press, vol. 23(2), pages 341-372, April.
    5. Robert McNabb & George Psacharopoulos, 1981. "Further Evidence of the Relevance of the Dual Labor Market Hypothesis for the U. K," Journal of Human Resources, University of Wisconsin Press, vol. 16(3), pages 442-448.
    6. Cain, Glen G, 1976. "The Challenge of Segmented Labor Market Theories to Orthodox Theory: A Survey," Journal of Economic Literature, American Economic Association, vol. 14(4), pages 1215-1257, December.
    7. Guy Mundlak, 2009. "Addressing the Legitimacy Gap in the Israeli Corporatist Revival," British Journal of Industrial Relations, London School of Economics, vol. 47(4), pages 765-787, December.
    8. Shoshana Neuman & Adrian Ziderman, 1986. "Testing the Dual Labor Market Hypothesis Evidence from the Israel Labor Mobility Survey," Journal of Human Resources, University of Wisconsin Press, vol. 21(2), pages 230-237.
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Job Quality in Segmented Labor Markets: The Israeli Case By: Neuman, Shoshana
      by maximorossi in NEP-LTV blog on 2015-08-10 23:08:45

    More about this item

    Keywords

    collective bargaining; contracted labor; foreign workers; immigrants; Israel; labor contracts; labor market segmenting; regulation;

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects
    • J58 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Public Policy
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions

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