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Birds, Birds, Birds: Co-worker Similarity, Workplace Diversity, and Voluntary Turnover

Author

Listed:
  • Boris Hirsch

    (Leuphana University of Lüneburg, Halle Institute for Economic Research (IWH), and IZA Institute of Labor Economics)

  • Elke J. Jahn

    (Institute for Employment Research (IAB), University of Bayreuth, and IZA Institute of Labor Economics)

  • Thomas Zwick

    (University of Würzburg, Centre for European Economic Research (ZEW), and Research Centre for Education and the Labour Market (ROA))

Abstract

We investigate how the demographic composition of the workforce along the sex, nationality, education, age, and tenure dimension affects voluntary turnover. Fitting duration models for workers’ job-to-job moves that control for workplace fixed effects in a representative sample of large manufacturing plants in Germany during 1975–2016, we find that larger co-worker similarity in all five dimensions substantially depresses voluntary turnover whereas workplace diversity is of limited importance. In line with conventional wisdom, which has that birds of one feather flock together, our results suggest that workers prefer having co-workers of their kind and place less value on diverse workplaces.

Suggested Citation

  • Boris Hirsch & Elke J. Jahn & Thomas Zwick, 2019. "Birds, Birds, Birds: Co-worker Similarity, Workplace Diversity, and Voluntary Turnover," Working Paper Series in Economics 387, University of Lüneburg, Institute of Economics.
    • Handle: RePEc:lue:wpaper:387
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    2. Gabriel Croitoru & Nicoleta Valentina Florea & Constantin Aurelian Ionescu & Valentina Ofelia Robescu & Liliana Paschia & Marilena Carmen Uzlau & Marinela Daniela Manea, 2022. "Diversity in the Workplace for Sustainable Company Development," Sustainability, MDPI, vol. 14(11), pages 1-26, May.

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    Keywords

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    JEL classification:

    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J19 - Labor and Demographic Economics - - Demographic Economics - - - Other

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