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Long-Term Effects Of Involuntary Job Separations On Labour Careers

  • Miguel A. Malo

    ()

  • Fernando Muñoz-Bullón

    ()

In this article, we analyse whether involuntary job separations present long-term effects upon individuals’ careers, and the magnitude of such effects. For this purpose, the impact of involuntary job separations on three measures of occupational prestige is examined, using the British Household Panel Survey. Involuntary job separations are found to show a negative effect upon those occupational prestige scales. In particular, when additional involuntary job separations are suffered, this negative impact is persistent and cumulative. Moreover, this observed decrease in prestige levels is enhanced by the length of job separations. Our results help to explain why displaced workers suffer persistent earnings losses compared to non-displaced workers along their work-life history.

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Paper provided by Universidad Carlos III, Departamento de Economía de la Empresa in its series Business Economics Working Papers with number wb034211.

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Date of creation: Jan 2003
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Handle: RePEc:cte:wbrepe:wb034211
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  1. Topel, Robert H, 1991. "Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority," Journal of Political Economy, University of Chicago Press, vol. 99(1), pages 145-76, February.
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  12. repec:ese:iserwp:2002-06 is not listed on IDEAS
  13. Topel, Robert H & Ward, Michael P, 1992. "Job Mobility and the Careers of Young Men," The Quarterly Journal of Economics, MIT Press, vol. 107(2), pages 439-79, May.
  14. Linda Dickens & Moira Hart & Michael Jones & Brian Weekes, 1984. "The British experience under a statute prohibiting unfair dismissal," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 37(4), pages 497-514, July.
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  16. Ermisch, John & Francesconi, Marco, 2002. "Intergenerational Social Mobility and Assortative Mating in Britain," IZA Discussion Papers 465, Institute for the Study of Labor (IZA).
  17. Goldsmith, Arthur H. & Veum, Jonathan R. & William Darity, Jr., 1996. "The impact of labor force history on self-esteem and its component parts, anxiety, alienation and depression," Journal of Economic Psychology, Elsevier, vol. 17(2), pages 183-220, April.
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