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

  • 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)

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.

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Paper provided by Institute of Labour Law and Industrial Relations in the European Union (IAAEU) in its series IAAEU Discussion Papers with number 201405.

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Date of creation: May 2014
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Handle: RePEc:iaa:dpaper:201405
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