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Is innovative firm behavior correlated with age and gender composition of the workforce? Evidence from a new type of data for German enterprises

Author

Listed:
  • Pfeifer, Christian

    (Leuphana University Lueneburg and IZA)

  • Wagner, Joachim

    (Leuphana University Lueneburg, CESIS)

Abstract

This empirical research note documents the relationship between composition of a firm's workforce (with a special focus on age and gender) and its performance with respect to innovative activities (outlays and employment in research and development (R&D)) for a large representative sample of enterprises from manufacturing industries in Germany using unique newly available data. We find that firms with a higher share of older workers have significantly lower proportions of R&D outlays in total revenues and of R&D employment in total employment, whereas firms with a higher share of female employment seem to be more active in R&D.

Suggested Citation

  • Pfeifer, Christian & Wagner, Joachim, 2012. "Is innovative firm behavior correlated with age and gender composition of the workforce? Evidence from a new type of data for German enterprises," Working Paper Series in Economics and Institutions of Innovation 291, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    • Handle: RePEc:hhs:cesisp:0291
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    2. Tan, Na & Liang, Xiaojun & Chang, Liang, 2024. "Growing older and growing technologically backward? Population ageing and high-technology exports of 171 countries," The Journal of the Economics of Ageing, Elsevier, vol. 29(C).
    3. Dirk Dohse & Rajeev K. Goel & Michael A. Nelson, 2019. "Female owners versus female managers: Who is better at introducing innovations?," The Journal of Technology Transfer, Springer, vol. 44(2), pages 520-539, April.
    4. Nils Grashof, 2020. "Sinking or swimming in the cluster labour pool? A firm-specific analysis of the effect of specialized labour," Jena Economics Research Papers 2020-006, Friedrich-Schiller-University Jena.
    5. Claudia Capozza & Marialuisa Divella, 2024. "Gender diversity in European firms and the R&D-innovation-productivity nexus," The Journal of Technology Transfer, Springer, vol. 49(3), pages 801-822, June.
    6. Torben Schubert & Martin Andersson, 2015. "Old is gold? The effects of employee age on innovation and the moderating effects of employment turnover," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 24(1-2), pages 95-113, March.
    7. Heywood, John S. & Jirjahn, Uwe, 2016. "The hiring and employment of older workers in Germany : a comparative perspective (Die Beschäftigung und Neueinstellung älterer Arbeitnehmer in Deutschland : eine vergleichende Perspektive)," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 49(4), pages 349-366.
    8. Amber Naz & Annekatrin Niebuhr & Jan Peters, 2015. "What’s behind the disparities in firm innovation rates across regions? Evidence on composition and context effects," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 55(1), pages 131-156, October.
    9. Pekka Ilmakunnas, 2025. "Employee age structure and firm innovation," Economics Bulletin, AccessEcon, vol. 45(4), pages 1840-1849.
    10. Song, Chen & Chen, Leqin, 2023. "Effects of dialect connectedness between chairperson and CEO on corporate innovation in China," Global Finance Journal, Elsevier, vol. 57(C).
    11. Eckhardt Bode & Dirk Dohse & Ulrich Stolzenburg, 2023. "Aging and regional productivity growth in Germany [Alterung und regionales Produktivitätswachstum in Deutschland]," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 43(3), pages 409-432, December.
    12. Heywood, John S. & Jirjahn, Uwe, 2016. "The hiring and employment of older workers in Germany : a comparative perspective (Die Beschäftigung und Neueinstellung älterer Arbeitnehmer in Deutschland : eine vergleichende Perspektive)," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 49(4), pages 349-366.
    13. Andersson, Martin & Kusetogullari, Anna & Wernberg, Joakim, 2021. "Software development and innovation: Exploring the software shift in innovation in Swedish firms," Technological Forecasting and Social Change, Elsevier, vol. 167(C).
    14. Avenyo, Elvis K. & Francois, John Nana & Zinyemba, Tatenda P., 2020. "COVID-19, Lockdowns, and Africa’s Informal Sector: Lessons from Ghana," MERIT Working Papers 2020-028, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).

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    Keywords

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    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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