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The Magic of the New: How Job Changes Affect Job Satisfaction

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  • Adrian Chadi

    (Institute for Labour Law and Industrial Relations in the EU, University of Trier)

  • Clemens Hetschko

    (School of Business and Economics, Freie Universitaet Berlin)

Abstract

We investigate a crucial event for job satisfaction: changing the workplace. For representative German panel data, we show that the reason why the previous employment ended is strongly linked to the satisfaction with the new job. When workers initiate a change of employer, they experience relatively high job satisfaction, though only in the short-term. To test causality, we exploit plant closure as exogenous trigger of job switching and find no causal effect of job changes on job satisfaction. Our findings concern research on workers' well-being as well as labor market and human resource policies.

Suggested Citation

  • Adrian Chadi & Clemens Hetschko, 2014. "The Magic of the New: How Job Changes Affect Job Satisfaction," IAAEU Discussion Papers 201405, Institute of Labour Law and Industrial Relations in the European Union (IAAEU).
  • Handle: RePEc:iaa:dpaper:201405
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    Cited by:

    1. Adrian Chadi & Laszlo Goerke, 2015. "Missing at Work – Sickness-related Absence and Subsequent Job Mobility," IAAEU Discussion Papers 201504, Institute of Labour Law and Industrial Relations in the European Union (IAAEU).
    2. Adrian Chadi & Clemens Hetschko, 2021. "How Job Changes Affect People's Lives — Evidence from Subjective Well‐Being Data," British Journal of Industrial Relations, London School of Economics, vol. 59(2), pages 279-306, June.
    3. Milena Nikolova & Boris Nikolaev & Olga Popova, 2021. "The perceived well-being and health costs of exiting self-employment," Small Business Economics, Springer, vol. 57(4), pages 1819-1836, December.
    4. Makarski, Krzysztof & Tyrowicz, Joanna, 2019. "On welfare effects of increasing retirement age," Journal of Policy Modeling, Elsevier, vol. 41(4), pages 718-746.
    5. Everding, Jakob & Marcus, Jan, 2020. "The effect of unemployment on the smoking behavior of couples," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 154-170.
    6. de Pinto Marco & Goerke Laszlo, 2019. "Efficiency Wages in Cournot-Oligopoly," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 19(4), pages 1-13, October.
    7. Clemens Hetschko, 2016. "On the misery of losing self-employment," Small Business Economics, Springer, vol. 47(2), pages 461-478, August.
    8. Nina Garthe & Hans Martin Hasselhorn, 2021. "The relationship between voluntary employer change and work ability among older workers: investigating the honeymoon-hangover effect," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 55(1), pages 1-12, December.
    9. Hetschko, Clemens & Eid, Michael & Lawes, Mario & Schöb, Ronnie & Stephan, Gesine, 2020. "The German Job Search Panel," OSF Preprints 7jazr, Center for Open Science.
    10. Feng Zhang & Dan Liu & Xiaowei Geng, 2022. "Job Mobility and Subjective Well-Being among New-Generation Migrant Workers in China: The Mediating Role of Interpersonal Trust," IJERPH, MDPI, vol. 19(18), pages 1-12, September.
    11. John Jerrim & Sam Sims & Rebecca Allen, 2021. "The mental health and wellbeing of teachers in England," DoQSS Working Papers 21-01r, Quantitative Social Science - UCL Social Research Institute, University College London.
    12. Adrian Chadi & Clemens Hetschko, 2017. "Income or Leisure? On the Hidden Benefits of (Un-) Employment," IAAEU Discussion Papers 201706, Institute of Labour Law and Industrial Relations in the European Union (IAAEU).
    13. Gaetano Lisi, 2018. "Job satisfaction, time allocation and labour supply," Working Papers 2018-04, Universita' di Cassino, Dipartimento di Economia e Giurisprudenza.
    14. Chadi, Adrian & Goerke, Laszlo, 2018. "Missing at work – Sickness-related absence and subsequent career events," Journal of Economic Behavior & Organization, Elsevier, vol. 153(C), pages 153-176.
    15. Susan Harkness, 2016. "The Effect of Employment on the Mental Health of Lone Mothers in the UK Before and After New Labour’s Welfare Reforms," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(2), pages 763-791, September.
    16. Irina Frei & Christian Grund, 2022. "Working-time mismatch and job satisfaction of junior academics," Journal of Business Economics, Springer, vol. 92(7), pages 1125-1166, September.
    17. Hinz, Tina & Lechmann, Daniel S. J., 2019. "The role of job satisfaction and local labor market conditions for the dissolution of worker-job matches," Discussion Papers 109, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    18. Nikolova, Milena, 2019. "Switching to self-employment can be good for your health," Journal of Business Venturing, Elsevier, vol. 34(4), pages 664-691.
    19. Nikolova, Milena & Cnossen, Femke, 2020. "What makes work meaningful and why economists should care about it," Labour Economics, Elsevier, vol. 65(C).
    20. Dräger, Vanessa, 2015. "Do Employment Protection Reforms Affect Well-Being?," IZA Discussion Papers 9114, Institute of Labor Economics (IZA).
    21. Ekaterina Uglanova & Jan Dettmers, 2018. "Sustained Effects of Flexible Working Time Arrangements on Subjective Well-Being," Journal of Happiness Studies, Springer, vol. 19(6), pages 1727-1748, August.
    22. Wunder, Christoph & Zeydanli, Tugba, 2021. "The early costs of plant closures: Evidence on lead effects on workers’ subjective and objective outcomes," Journal of Economic Behavior & Organization, Elsevier, vol. 188(C), pages 489-505.
    23. Ori Heffetz & Daniel B. Reeves, 2016. "Difficulty to Reach Respondents and Nonresponse Bias: Evidence from Large Government Surveys," NBER Working Papers 22333, National Bureau of Economic Research, Inc.

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    More about this item

    Keywords

    job satisfaction; job changes; new job; honeymoon-hangover effect; plant closure;
    All these keywords.

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • M50 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - General

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