On-the-job search in Italian labour markets: an empirical analysis

This paper analyses the determinants of on-the-job search activities of Italian workers. Using several waves of the Bank of Italy Survey on Household Income and Wealth (SHIW) we estimate with a Probit model how individual socio demographic characteristics and economic variables affect the probability of on-the-job search. We find that the probability of being engaged in job-search activities is higher for low-wage earners, for workers with low tenure and higher levels of education, for males and for residents in large cities. Moreover, we find significant differences in the determinants of on-the-job search activities across sectors. Public sector employees show a considerable lower probability of on-thejob search compared to private sector workers; White-collars and teachers search much less than blue-collars (both in private and public sectors). Results suggest that the attractiveness of jobs varies considerably, even controlling for wage levels and that notwithstanding the high degree of centralization Italian markets are reactive to job-search determinants.