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Testing for redlining in the labour market

Author

Listed:
  • Yannick L'Horty

    (ERUDITE - Equipe de Recherche sur l’Utilisation des Données Individuelles en lien avec la Théorie Economique - UPEM - Université Paris-Est Marne-la-Vallée - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique)

  • Mathieu Bunel

    (LARJE - Laboratoire de Recherches Juridique et Economique - UNC - Université de la Nouvelle-Calédonie, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique)

  • Pascale Petit

    (ERUDITE - Equipe de Recherche sur l’Utilisation des Données Individuelles en lien avec la Théorie Economique - UPEM - Université Paris-Est Marne-la-Vallée - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique)

Abstract

When an employer refuses to recruit a job applicant due to the applicant's place of residence, we speak of redlining in the labour market. There are two explanations for this practice by the employer. The first is the excessive distance between the applicant's place of residence and the workplace, justified by a logic of spatial mismatch. The second is based on the characteristics of the neighbourhood in line with a signal logic. We propose to measure the effects of these two mechanisms using a correspondence test conducted in the Paris region of France for two occupations: waiters and cooks. It appears that distance plays a significant role and reinforces the effect of a disreputable neighbourhood. The most deprived neighbourhoods combine these two types of drawbacks.

Suggested Citation

  • Yannick L'Horty & Mathieu Bunel & Pascale Petit, 2019. "Testing for redlining in the labour market," Post-Print hal-02458683, HAL.
    • Handle: RePEc:hal:journl:hal-02458683
    DOI: 10.1080/17421772.2019.1559347
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    2. Denis Anne, 2019. "Aides à la mobilité et insertion sociale," Erudite Ph.D Dissertations, Erudite, number ph19-03 edited by Yannick L'Horty, December.
    3. Laetitia Challe & Yannick L’Horty & Pascale Petit & François-Charles Wolff, 2024. "Cyclical behavior of hiring discrimination: evidence from repeated experiments in France," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 72(3), pages 711-733, March.
    4. Sylvain Chareyron & Laetitia Challe & Yannick L’Horty & Pascale Petit, 2022. "Can subsidies paid directly to employers reduce residential discrimination in employment? An assessment based on serial field experiments," Urban Studies, Urban Studies Journal Limited, vol. 59(6), pages 1202-1218, May.
    5. Diaz, Ana Maria & Salas, Luz Magdalena, 2020. "Do firms redline workers?," Regional Science and Urban Economics, Elsevier, vol. 83(C).
    6. Zanoni, Wladimir & Acevedo, Paloma & Hernández, Hugo, 2022. "Job Market Discrimination against Slum Dwellers in Urban Argentina," IDB Publications (Working Papers) 12122, Inter-American Development Bank.
    7. Magnus Carlsson & Stefan Eriksson, 2023. "Do employers avoid hiring workers from poor neighborhoods? Experimental evidence from the real labor market," Scandinavian Journal of Economics, Wiley Blackwell, vol. 125(2), pages 376-402, April.
    8. Sylvain Chareyron & Laetitia Challe & Yannick L'Horty & Pascale Petit, 2020. "The failure of the “Emplois Francs” scheme: evaluation with repeated testing," Erudite Working Paper 2020-02, Erudite.

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