The Entry and Exit of Workers and the Growth of Employment: An Analysis of French Establishments
Our empirical analyses distinguish between flows of workers, directly measured, and job creation and destruction, again, directly measured. We use a representative sample of all French establishments for 1987 to 1990. Our most important findings are that (1) annual job creation can be characterized as hiring three persons and separating two for each job created in a given year; (2) annual job destruction can be characterized as hiring one person and separating two for each job destroyed in a given year; (3) two-thirds of all hiring are short term contracts and more than half of all separations are due to the end of these short term contracts; (4) when an establishment is shrinking the adjustment is made by reducing entry (short and long contracts, and transfers) and not changing the separation rates; (5) for the highest skill groups ten percent of months with firm-initiated exits also have new hiring in the same skill group and for the lowest skill groups 25% of the months with firm-initiated separations also have new hiring in that skill group; (6) approximately one-third of all short-term employment contracts are converted to long-term contracts at their termination; (7) most worker flows are procyclical; (8) employment adjustment occurs primarily through changes in the entry rates (often of short-term contract workers) and not through the exit rates (except for quits); and (9) the rate of internal promotion into higher skilled positions is about three times the size of net employment changes inside the job category.
|Date of creation:||Apr 1996|
|Date of revision:|
|Publication status:||published as Review of Economics and Statistics, Vol. 81, no. 2 (May 1999): 170-187.|
|Contact details of provider:|| Postal: |
Web page: http://www.nber.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jonathan S. Leonard, 1986. "In the Wrong Place at the Wrong Time: The Extent of Frictional and Structural Unemployment," NBER Working Papers 1979, National Bureau of Economic Research, Inc.
- Burgess, Simon & Lane, Julia & Stevens, David, 2000.
"Job Flows, Worker Flows, and Churning,"
Journal of Labor Economics,
University of Chicago Press, vol. 18(3), pages 473-502, July.
- Anne Sérandon & Denis Fougère & Liliane Bonnal, 1994. "L'impact des dispositifs d'emploi sur le devenir des jeunes chômeurs : une évaluation économétrique sur données longitudinales," Économie et Prévision, Programme National Persée, vol. 115(4), pages 1-28.
- Steven J. Davis & John Haltiwanger, 1990. "Gross Job Creation and Destruction: Microeconomic Evidence and Macroeconomic Implications," NBER Chapters, in: NBER Macroeconomics Annual 1990, Volume 5, pages 123-186 National Bureau of Economic Research, Inc.
- Davis, Steven J & Haltiwanger, John C, 1992.
"Gross Job Creation, Gross Job Destruction, and Employment Reallocation,"
The Quarterly Journal of Economics,
MIT Press, vol. 107(3), pages 819-63, August.
- Steve J. Davis & John Haltiwanger, 1991. "Gross job creation, gross job destruction and employment reallocation," Working Paper Series, Macroeconomic Issues 91-5, Federal Reserve Bank of Chicago.
- Steve J. Davis & John Haltiwanger, 1991. "Gross Job Creation, Gross Job Destruction and Employment Reallocation," NBER Working Papers 3728, National Bureau of Economic Research, Inc.
- Steven J. Davis & John Haltiwanger, 1998.
"Measuring Gross Worker and Job Flows,"
in: Labor Statistics Measurement Issues, pages 77-122
National Bureau of Economic Research, Inc.
- Dunne, T. & Roberts, M.J. & Samuelson L., 1988.
"Plant Turnover And Gross Employment Flows In The U.S. Manufacturing Sector,"
9-87-7, Pennsylvania State - Department of Economics.
- Dunne, Timothy & Roberts, Mark J & Samuelson, Larry, 1989. "Plant Turnover and Gross Employment Flows in the U.S. Manufacturing Sector," Journal of Labor Economics, University of Chicago Press, vol. 7(1), pages 48-71, January.
- Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262540932, June.
- Hamermesh, D.S. & Hassink, W.H.J. & van Ours, J.C., 1996. "Job turnover and labor turnover : A taxonomy of employment dynamics," Other publications TiSEM 1f3fab1f-b02a-485a-bb8f-f, Tilburg University, School of Economics and Management.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:5551. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.