The extent and determinants of precarious employment in Europe

2016 ◽  
Vol 37 (1) ◽  
pp. 25-43 ◽  
Author(s):  
Lefteris Kretsos ◽  
Ilias Livanos

Purpose – The purpose of this paper is to investigate the extent and determinants of the so-called precarious employment across Europe and using different measures and based on individual’s self-assessment. Design/methodology/approach – Data on over two million workers across Europe (EU-15) from the European Union Labour Force Survey are utilised and a Heckman selection approach is adopted. Findings – About one tenth of the total European workforce is in employment relationships that could be related to precariousness. The sources of precariousness are mainly involuntary part-time and temporary work. Less prominent as a source of precariousness is job insecurity related to fear of job loss. Vulnerable groups are found to have a higher risk of precariousness while significant country variations indicate that precariousness cannot be examined in isolation of the national context. Finally, signals of previous employment inability, such as lack of past working experience, as well as the state of labour market significantly increase the risk of precarious work. Originality/value – The present study utilises a large-scale survey in order to investigate the incidence of precarious employment in a harmonised way and produce results that are comparable across EU-15 countries.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Karel Fric

PurposeThis article aims to shed more light on seemingly contradicting labour market outcomes of lesbians: they were found to have similar unemployment rates as straight women but their unemployment spells are significantly shorter. No such contradiction is observed for gays who seem to have on average a higher unemployment rate and longer unemployment spells compared to straight men.Design/methodology/approachThe main hypothesis is that lesbian and gay employees spend ceteris paribus shorter time working for a given employer (employer tenure) than comparable straight people. This hypothesis is tested on EU Labour Force Survey data using multi-level regression model.FindingsConsistently with the predictions, lesbians and gays were found to have significantly shorter employer tenure than their straight counterparts. These differences remained significant after controlling for individual, workplace and occupational characteristics. The results suggest that shorter employer tenure of lesbians and (possibly) gays is driven by labour demand factors.Originality/valueTo author's knowledge this is the first large-scale quantitative study that compares the employer tenure between lesbians, gays and comparable heterosexuals. The study provides additional insight into mechanisms that lead to (lack of) differentials in unemployment probability between these groups.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ka Ki Chan ◽  
Tat Chor Au-Yeung

PurposeRetirement protection has been widely debated in Hong Kong over two decades. The debate about the relationship between social insecurity and retirement protection, and provoked consideration of a choice between a rights-based universal retirement system and means-tested protection for senior citizens are still contested. This study aims to explore the understanding and behaviours of young workers regarding retirement planning, their difficulties and worries with the implementation of providing support for their parents' retirement.Design/methodology/approachThis was an exploratory study to target young workers aged 20–34 years to participate. Qualitative data presented in this study were drawn from 16 young workers. Seven were female and nine were male young workers.FindingsThe research found that young workers who have a relatively low level of income, particularly for non-standard workers and the self-employed, both are likely to find difficulties to contribute to their own retirement planning and their parents' retirement with the emerging problems of job insecurity and instability. Young working people in lower socio-classes have further limited choices and control over their own retirement planning, as well as providing support for their parents' retirement that may cause a breach of intergenerational contract.Originality/valueWith the increasing number of young workers with precarious employment or unemployment, this study has contributed to a shift in views regarding intergenerational contracts, particularly in the need to support other generations of family members in a contemporary Hong Kong society.


SAGE Open ◽  
2020 ◽  
Vol 10 (3) ◽  
pp. 215824402093448
Author(s):  
Maria Symeonaki ◽  
Glykeria Stamatopoulou

The present article proposes a new labor market index, called the positive labor market mobility index, which focuses on quantifying the amount of “desired” labor market mobility present in the transitions of young individuals, providing a useful way of comparing countries on that matter. Well-established indices in the literature aiming at measuring mobility take into account all movements among states and/or the diagonal elements of the transition probability matrix that denote immobility. On the contrary, the index proposed in this study uses only “favorable” or “desired” movements among labor market states, providing a more relevant to labor mobility assessment index, where the interest lies in quantifying positive transitions, from education or training to employment, for example. The positive mobility index is estimated for individuals in Europe, whose age was 15 to 29 during the years of the financial crisis, from 2008 to 2015. Annually raw micro-data from the European Union Labour Force Survey (EU-LFS) for these 8 years are used for this purpose. Moreover, the values of the proposed labor market mobility index are correlated with an early job insecurity indicator, estimated for the same age group. The results reveal the significant differences among European countries, when “desired” transitions of young individuals are taken into account. Moreover, the analysis performed indicates that the proposed index could be a good predictor for the degree of early job insecurity for young individuals in EU member states.


2020 ◽  
Vol 19 (3) ◽  
pp. 391-406
Author(s):  
Mesbah Fathy Sharaf ◽  
Ahmed Shoukry Rashad

Purpose This study aims to analyze whether precarious employment is associated with youth mental health, self-rated health and happiness in marriage and whether this association differs by sex. Design/methodology/approach This paper uses longitudinal data from the Survey of Young People in Egypt conducted in 2009 and 2014 and estimates a fixed-effects model to control for time-invariant unobserved individual heterogeneity. The analysis is segregated by sex. Findings The results indicate that precarious employment is significantly associated with poor mental health and less happiness in marriage for males and is positively associated with poor self-reported health for females. The adverse impact of precarious work is likely to be mediated through poor working conditions such as low salary, maltreatment at work, job insecurity and harassment from colleagues. Social implications Governmental policies that tackle job precariousness are expected to improve population health and marital welfare. Originality/value Egypt has witnessed a significant increase in the prevalence of precarious employment, particularly among youth, in recent decades, yet the evidence on its effect on the health and well-being of youth workers is sparse. This paper adds to the extant literature by providing new evidence on the social and health repercussions of job precariousness from an understudied region.


2015 ◽  
Vol 36 (6) ◽  
pp. 848-873 ◽  
Author(s):  
Vassil Kirov ◽  
Pernille Hohnen

Purpose – The purpose of this paper is to investigate how trade unions may address the questions of inclusion of vulnerable employees in low-wage “anchored” sectors in the European Union. Design/methodology/approach – The findings presented in the paper are mainly results of the analysis of stakeholder policies and strategies on the national level and on the European level, including both desk research and interviews with social partner representatives and other experts in the sectors as well as company case studies carried out in the examined countries in three selected sectors: cleaning, waste collection and catering. Findings – The main findings of the paper refer to the indirect way in which trade unions try to promote the inclusion of vulnerable groups in the examined sectors. On this basis are formulated policy recommendations. Research limitations/implications – The paper is based on case study research that does not cover all possible “anchored” services, vulnerable groups and types of countries, according to their employment and social models. Practical implications – This paper formulates practical recommendations to European trade unions in the services. Originality/value – The originality of the paper is related to comparative research focused on services sectors and the consequences of the spatial reorganisation of sectors for the trade union actions.


2020 ◽  
Vol 28 (5) ◽  
pp. 969-983
Author(s):  
Abdulla Al-Mutairi ◽  
Kamal Naser ◽  
Fatema Fayez

Purpose The purpose of this study is to identify factors discouraging Kuwaiti nationals from participating in the private sector labour force (Kuwaitization). Design/methodology/approach A questionnaire was distributed to a sample of Kuwaiti nationals to identify the main reasons that prevent them from joining the private sector labour force. Findings The study revealed that low expectations of private sectors’ employers regarding Kuwaiti nationals discourage them from joining the sector. Kuwaiti nationals believe that the private sector employers look for high standards of communication and computing skills. They avoid working for the private sector because some jobs require working for two shifts and long working hours, and they cannot obtain frequent leave. Other factors that appeared to affect Kuwaiti nationals’ participation in the private sector labour force were lack of job security, fewer holidays, difficulty to obtain special pay leave or early retirement at lucrative terms, uncertainty about the prospect of promotion and job insecurity. Research limitations/implications The current study targets Kuwaiti national employees. To formulate a clear picture about the main factors that influence the success or otherwise of the Kuwaitization policy, it is of paramount importance to explore the opinion of the private sector employers. Practical implications The outcome of this study would be used by policymakers to promote Kuwaitization and increase Kuwaiti nationals’ participation in the private sector labour force. This will increase the country’s reliance on its national labour force and ensure sustainable economic and social development. Originality/value The outcome of this study is expected to assist the Kuwaiti authorities in reformulating the current Kuwaitization policies to achieve its objectives. The study is expected to draw some lessons applicable to other Gulf Cooperation Council countries.


2017 ◽  
Vol 38 (7) ◽  
pp. 1036-1054
Author(s):  
Dafni Papoutsaki

Purpose The purpose of this paper is to assess the probability of job separations of immigrants and natives in the UK before and during the economic crisis of 2008. Design/methodology/approach A mixed proportional hazard duration model with a semi-parametric piecewise constant baseline hazard is used on a data sample of inflows into employment. Findings It is found that the crisis increased the probability of exits to unemployment for all groups, while immigrants from the new countries of the European Union seemed to have the lowest hazard towards unemployment even after controlling for their demographic and labour market characteristics. More specifically, even when we account for the fact that they tend to cluster in jobs that are most vulnerable to the business cycle, they are still less likely to exit dependent employment than natives. However, this migrant group is adversely affected by the crisis the most. Research limitations/implications Possible implications of out-migration of the lower performers are discussed. Originality/value This paper makes use of the panel element of the UK Quarterly Labour Force Survey, and uses duration analysis on the individual level to assess the labour market outcomes of natives and immigrants in the UK.


2014 ◽  
Vol 74 (1) ◽  
pp. 17-37 ◽  
Author(s):  
Yann de Mey ◽  
Frankwin van Winsen ◽  
Erwin Wauters ◽  
Mark Vancauteren ◽  
Ludwig Lauwers ◽  
...  

Purpose – The purpose of this paper is to present empirical evidence of risk balancing behavior by European farmers. More specifically, the authors investigate strategic adjustments in the level of financial risk (FR) in response to changes in the level of business risk (BR). Design/methodology/approach – The authors conducted a correlation relationship analysis and run several linear fixed effects regression models using the European Union (EU)-15 FADN panel data set for the period 1995-2008. Findings – Overall, the paper finds EU evidence of risk balancing. The correlation relationship analysis suggests that just over half of the farm observations are risk balancers whereas the other (smaller) half are not. The coefficient in our fixed effects regression suggests that a 1 percent increase in BR reduces FR by 0.043 percent and has a standard error so low that the existence of non-risk balancers is doubtful. The results reject evidence of strong-form risk balancing – inverse trade-offs between FR and BR keeping total risk (TR) constant – but cannot reject weak-form risk balancing – inverse trade-offs between FR and BR with some observed changes in TR. Furthermore, the extent of risk balancing behavior is found to differ between different European countries and across farm typologies. Practical implications – This study provides European policy makers a first insight into risk balancing behavior of EU farmers. When risk balancing occurs, BR-reducing agricultural policies induce strategic upwards leverage adjustments that unintentionally reestablish or even increase total farm-level risk. Originality/value – Making use of the large and unique FADN database, to the best of the authors knowledge, this study is the first that provides European (EU-15) evidence on risk balancing behavior, is conducted at an unprecedented large scale, and presents the first risk balancing evidence across countries and farming systems.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Colin Williams ◽  
Besnik Krasniqi

PurposeTo transcend the view of employment as either formal or informal, this paper evaluates the prevalence of quasi-formal employment where formal employers pay formal employees an unreported (“envelope”) wage in addition to their formal reported salary. To explain the individual-level variations in quasi-formal employment, the “marginalisation” thesis is evaluated that this practice is more prevalent among vulnerable groups and to explain the country-level variations, and a neo-institutionalist theory is evaluated that it is more prevalent where formal institutional failures lead to an asymmetry between the formal laws and regulations and the unwritten socially shared rules of informal institutions.Design/methodology/approachTo evaluate the individual- and country-level variations in the prevalence of quasi-formal employment, a multi-level logistic regression is provided of data from special 2019 Eurobarometer survey 92.1 involving 11,793 interviews with employees across 28 European countries (the 27 member states of the European Union and the United Kingdom).FindingsOf the 3.5% of employees (1 in 28) who receive under-reported salaries, the marginalisation thesis is supported that it is largely vulnerable population groups. So too is the neo-institutionalist explanation that quasi-formal employment is more common in countries where the non-alignment of formal and informal institutions is greater, with the formal institutional failings producing this identified as lower levels of economic development, less modernised state bureaucracies and lower levels of taxation and social protection.Practical implicationsThe policy implication is that tackling quasi-formal employment requires not only enforcement authorities to improve the risk of detection of this illegal wage practice but also governments to change wider macro-level structural conditions. These are outlined.Originality/valueContemporary new evidence is provided of the prevalence of quasi-formal employment along with how this illegal wage practice can be explained and tackled.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xiuhua Wang ◽  
Yang Fu

PurposeDigital finance has the transformative power to realise financial inclusion. However, evidence on the relationship between digital finance and poverty reduction remains limited. This study examines the mitigating effects of digital financial inclusion (DFI) on vulnerability to poverty in rural China, explores potential mechanisms at the micro-level, and investigates the external conditions for DFI to validate these effects.Design/methodology/approachRural household data from the China Labour Force Dynamics Survey and the regional DFI index compiled by Peking University are used. The probit and mediation effect models are employed to assess the impacts of the DFI on vulnerability to poverty and explore its mechanisms, with an appropriate instrumental variable to mitigate potential endogeneity.FindingsDFI can mitigate vulnerability to poverty in Chinese rural households. Specifically, both sub-indices – coverage breadth and depth of use – have a significant effect. Further analyses based on the mediation model show that improving agricultural productivity, stimulating entrepreneurial activities and promoting non-agricultural employment are the core mechanisms for alleviating poverty vulnerability. Heterogeneity analysis shows that DFI is pro-poor and benefits those who lack economic opportunities. Moreover, adequate endowment in rural households, such as production and human capital, is an external condition for digital finance to mitigate vulnerability to poverty.Originality/valueThis study is among the first to examine the vulnerability-mitigation effects from the perspective of digital finance development, relying on data from a large-scale, nationwide household survey and the regional DFI index. It also checks for the mechanisms and heterogeneity of the effects, which prove the effects can help balance efficiency and equity.


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