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On-the-Job Search in Europe and the U.S.: Precautionary vs. Job Ladder Motives

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Abstract

While employer-to-employer (E2E) transitions are by now well-documented, these data alone cannot reveal what drives mobility: who searches, why, and how search translates into transitions. Using novel panel data from the ECB and NY Fed consumer expectations surveys, we provide the first systematic cross-country analysis of on-the job search (OJS) and E2E transitions across eleven euro area countries and the U.S. Our data uniquely include direct measures of OJS and its motives (job loss expectations for precautionary, pay satisfaction for job ladder) for all workers, not just searchers. We find that OJS is widespread, making employed workers the majority of searchers, and it strongly predicts E2E transitions. Motives differ dramatically: precautionary search dominates in Europe, while the job ladder motive dominates in the U.S. OJS is highly persistent, with 40% continuing to search even after starting a new job.

Suggested Citation

  • Alexander Bick & António Dias da Silva & Marco Weißler, 2026. "On-the-Job Search in Europe and the U.S.: Precautionary vs. Job Ladder Motives," Working Papers 2026-015, Federal Reserve Bank of St. Louis.
    • Handle: RePEc:fip:fedlwp:103531
    DOI: 10.20955/wp.2026.015
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    JEL classification:

    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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