Aging, Labor Turnover and Firm Performance
We study whether older workers are costly to firms. Our estimation equations are derived from a variant of the decomposition methods frequently used for measuring micro-level sources of industry productivity growth. By using comprehensive linked employer-employee data from the Finnish business sector, we study the productivity and wage effects, and hence the profitability effects, of hiring and separation of younger and older workers. The evidence shows that separations of older workers are profitable to firms, especially in the manufacturing ICT-industries. Robustness checks include the use of regional labor supply and other variables as instruments for the potential endogeneity of the labor flows.
|Date of creation:||2007|
|Contact details of provider:|| Postal: Lönnrotinkatu 4 B, FIN-00120 HELSINKI|
Phone: +358 (0)9 609 900
Fax: +358 (0)9 601 753
Web page: http://www.etla.fi/
More information through EDIRC
|Order Information:|| Email: |
Find related papers by JEL classification:
- C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions
This paper has been announced in the following NEP Reports:
- Jan Ours, 2009.
"Will You Still Need Me: When I’m 64?,"
Springer, vol. 157(4), pages 441-460, December.
- van Ours, Jan C., 2009. "Will You Still Need Me – When I'm 64?," IZA Discussion Papers 4264, Institute for the Study of Labor (IZA).
- van Ours, J.C., 2009. "Will You still Need Me - When I'm 64?," Discussion Paper 2009-51, Tilburg University, Center for Economic Research.
- Schimke, Antje, 2014. "Aging workforce and firm growth in the context of "extreme" employment growth events," Working Paper Series in Economics 54, Karlsruhe Institute of Technology (KIT), Department of Economics and Business Engineering.
- Jan C. van Ours & Lenny Stoeldraijer, 2010. "Age, Wage and Productivity," CESifo Working Paper Series 2965, CESifo Group Munich.
- van Ours, J.C. & Stoeldraijer, L., 2010. "Age, Wage and Productivity," Discussion Paper 2010-12, Tilburg University, Center for Economic Research.
- van Ours, Jan C. & Stoeldraijer, Lenny, 2010. "Age, Wage and Productivity," IZA Discussion Papers 4765, Institute for the Study of Labor (IZA).
- BÃ¶rsch-Supan, Axel & Weiss, Matthias, 2011. "Productivity and age: Evidence from work teams at the assembly line," MEA discussion paper series 07148, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
- Börsch-Supan, A. & Weiss, M., 2013. "Productivity and age: Evidence from work teams at the assembly line," ROA Research Memorandum 009, Maastricht University, Research Centre for Education and the Labour Market (ROA).
- Börsch-Supan, A. & Weiss, M., 2013. "Productivity and age: Evidence from work teams at the assembly line," Research Memorandum 029, Maastricht University, Graduate School of Business and Economics (GSBE).
- Weiss, Matthias & Börsch-Supan, Axel, 2011. "Productivity and age: Evidence from work teams at the assembly line," Annual Conference 2011 (Frankfurt, Main): The Order of the World Economy - Lessons from the Crisis 48719, Verein für Socialpolitik / German Economic Association.
- Frosch, Katharina & Göbel, Christian & Zwick, Thomas, 2011. "Separating wheat and chaff: age-specific staffing strategies and innovative performance at the firm level," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 44(4), pages 321-338.
- Frosch, Katharina & Göbel, Christian & Zwick, Thomas, 2011.
"Separating wheat and chaff: age-specific staffing strategies and innovative performance at the firm level
[Den Weizen von der Spreu trennen: Altersbezogene Personalpolitik und Innovationen auf der ," ZEW Discussion Papers 11-047, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Mika Maliranta, 2010. "Resources in vocational education and post-schooling outcomes," International Journal of Manpower, Emerald Group Publishing, vol. 31(5), pages 520-544, August.
- Mika Maliranta & Satu Nurmi & Hanna Virtanen, 2008. "It takes three to tango in employment: Matching vocational education organisations, students and companies in labour market," Economics of Education Working Paper Series 0022, University of Zurich, Department of Business Administration (IBW).
- Schimke, Antje, 2012. "Entrepreneurial aging and employment growth in the context of extreme growth events," Working Paper Series in Economics 39, Karlsruhe Institute of Technology (KIT), Department of Economics and Business Engineering.
- Mahlberg, Bernhard & Freund, Inga & Crespo Cuaresma, Jesús & Prskawetz, Alexia, 2013. "Ageing, productivity and wages in Austria," Labour Economics, Elsevier, vol. 22(C), pages 5-15.
- Mahlberg, Bernhard & Freund, Inga & Crespo Cuaresma, Jesús & Prskawetz, Alexia, 2011. "Ageing, productivity and wages in Austria," ECON WPS - Vienna University of Technology Working Papers in Economic Theory and Policy 03/2011, Vienna University of Technology, Institute for Mathematical Methods in Economics, Research Group Economics (ECON).
- Mika Maliranta & Pierre Mohnen & Petri Rouvinen, 2009. "Is inter-firm labor mobility a channel of knowledge spillovers? Evidence from a linked employer--employee panel," Industrial and Corporate Change, Oxford University Press, vol. 18(6), pages 1161-1191, December.
- Maliranta, Mika & Mohnen, Pierre & Rouvinen, Petri, 2008. "Is Inter-Firm Labor Mobility a Channel of Knowledge spillovers? Evidence from a Linked Employer-Employee Panel," MERIT Working Papers 005, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
- Maliranta, Mika & Mohnen, Pierre & Rouvinen, Petri, 2008. "Is Inter-firm Labor Mobility a Channel of Knowledge Spillovers? Evidence from a Linked Employer-Employee Panel," Discussion Papers 1116, The Research Institute of the Finnish Economy.
- Jan Ours & Lenny Stoeldraijer, 2011. "Age, Wage and Productivity in Dutch Manufacturing," De Economist, Springer, vol. 159(2), pages 113-137, June.
- Stoeldraijer, Lenny & van Ours, Jan C, 2010. "Age, wage and productivity," CEPR Discussion Papers 7713, C.E.P.R. Discussion Papers.
- Katharina Frosch, 2009. "Do only new brooms sweep clean? A review on workforce age and innovation," MPIDR Working Papers WP-2009-005, Max Planck Institute for Demographic Research, Rostock, Germany.
When requesting a correction, please mention this item's handle: RePEc:rif:dpaper:1092. 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: (Kaija Hyvönen-Rajecki)
If references are entirely missing, you can add them using this form.
Follow series, journals, authors & more
New papers by email
Subscribe to new additions to RePEc
Public profiles for Economics researchers
Various rankings of research in Economics & related fields
Who was a student of whom, using RePEc
Curated articles & papers on various economics topics
Upload your paper to be listed on RePEc and IDEAS
Blog aggregator for economics research
Cases of plagiarism in Economics
Job Market Papers
RePEc working paper series dedicated to the job market
Pretend you are at the helm of an economics department
Services from the StL Fed
Data, research, apps & more from the St. Louis Fed