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F.O.G. and teleworking: Some labor economics of covid-19

Author

Listed:
  • Jacques Bughin
  • Michele Cincera

Abstract

FOG (« fear of going back to work ») is a new acronym reflecting workers stress to become contamined by covid-19. In response, firms have been offering protections, extending teleworking as a way to continue to work during the pandemics. Leveraging a classical epidemiologic SIR model, we study how pandemics such as Covid 19 affect labor market, when the labor productivity is tied to the value of interactions, and under wage negotiations. Despite relatively schematic, our modelling highlights that workers participation during pandemics is dependent on reservation wages, and that the final dynamics are also critically dependent on a mix of health and wealth factors such as age, work interactions, workers power, and productivity of interactions. In general, teleworking may be a way to restore work participation, even if teleworking may be less productive, to the extent that the productivity gap can be compensated by a much higher protection of workers.

Suggested Citation

  • Jacques Bughin & Michele Cincera, 2020. "F.O.G. and teleworking: Some labor economics of covid-19," Working Papers TIMES² 2020-037, ULB -- Universite Libre de Bruxelles.
    • Handle: RePEc:ict:wpaper:2013/312042
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    Cited by:

    1. Milenko Radonic & Valentina Vukmirovic & Milos Milosavljevic, 2021. "The Impact of Hybrid Workplace Models on Intangible Assets: The Case of an Emerging Country," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 23(58), pages 770-770, August.
    2. Jacques Bughin & Michele Cincera & Evelyn Kiepfer & Dorota Reykowska & Florian Philippi & Marcin Żyszkiewicz & Rafal Ohme & Dirk Frank, 2023. "Vaccination or NPI? A conjoint analysis of German citizens' preferences in the context of the COVID-19 pandemic," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 24(1), pages 39-52, February.
    3. Luigi Aldieri & Bruna Bruno & Concetto Paolo Vinci, 2022. "Employment Support and COVID-19: Is Working Time Reduction the Right Tool?," Economies, MDPI, vol. 10(6), pages 1-14, June.

    More about this item

    Keywords

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    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods

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