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Multinational firms and job tasks

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  • Nilsson Hakkala, Katariina
  • Heyman, Fredrik
  • Sjöholm, Fredrik

Abstract

We analyze the impact of multinational and foreign ownership on the demand for job tasks and educational skills. By using Swedish matched employer-employee data, we find that both foreign and domestic multinational firms have high shares of non-routine tasks and tasks requiring personal interaction. Moreover, acquisitions of local firms by multinationals increase the relative demand for non-routine and interactive job tasks in the targeted firms. The differences in the demand for job tasks are only partly explained by firm characteristics. Dividing employees by education instead of job tasks does not result in the same effects on relative labor demand, which shows that task measures do indeed capture a new labor market aspect.

Suggested Citation

  • Nilsson Hakkala, Katariina & Heyman, Fredrik & Sjöholm, Fredrik, 2009. "Multinational firms and job tasks," Working Papers 8, VATT Institute for Economic Research.
    • Handle: RePEc:fer:wpaper:8
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    Cited by:

    1. Becker, Sascha O. & Ekholm, Karolina & Muendler, Marc-Andreas, 2013. "Offshoring and the onshore composition of tasks and skills," Journal of International Economics, Elsevier, vol. 90(1), pages 91-106.
    2. Böckerman, Petri & Kauhanen, Antti & Maliranta, Mika, 2012. "ICT and occupation-based measures of organisational change: Firm and employee outcomes," MPRA Paper 43302, University Library of Munich, Germany.
    3. Robert E. Lipsey & Fredrik Sjöholm & Jing Sun, 2010. "Foreign Ownership and Employment Growth in Indonesian Manufacturing," NBER Working Papers 15936, National Bureau of Economic Research, Inc.
    4. Deschryvere, Matthias, 2009. "Mobility of Corporate Headquarter Functions: A Literature Review," Discussion Papers 1203, The Research Institute of the Finnish Economy.
    5. Petri Böckerman & Mika Maliranta, 2013. "Outsourcing, Occupational Restructuring, and Employee Well-Being: Is There a Silver Lining?," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 52(4), pages 878-914, October.
    6. Ossi Korkeamäki & Tomi Kyyrä, 2012. "Institutional rules, labour demand and retirement through disability programme participation," Journal of Population Economics, Springer;European Society for Population Economics, vol. 25(2), pages 439-468, January.
    7. Korkeamäki, Ossi, 2011. "The Finnish payroll tax cut experiment revisited," Working Papers 22, VATT Institute for Economic Research.
    8. Robert E. Lipsey & Fredrik Sjöholm & Jing Sun, 2013. "Foreign Ownership and Employment Growth in a Developing Country," Journal of Development Studies, Taylor & Francis Journals, vol. 49(8), pages 1133-1147, August.

    More about this item

    Keywords

    FDI; Cross-Border Acquisitions; Multinational Enterprises; Foreign Ownership; Job Tasks; Labor Demand; Skill Groups; Labour market; Työmarkkinat; Labor market and policies promoting economic growth; Työmarkkinat ja kasvua tukeva politiikka; F160 - Trade and Labor Market Interactions; F210 - International Investment; Long-term Capital Movements; F230 - Multinational Firms; International Business (International Competitiveness); J230 - Employment Determination; Job Creation; Demand for Labor; Self-Employment;

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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