Record Details

The Costs of Involuntary Job Loss: Impact on Workers' Employment and Earnings

Labour, Employment and Work in New Zealand

View Archive Info
 
 
Field Value
 
Title The Costs of Involuntary Job Loss: Impact on Workers' Employment and Earnings
 
Creator Dixon, Sylvia
Maré, David C.
 
Description This paper examines the impact of involuntary job loss on the employment and earnings of affected workers, using data from the Survey of Families, Incomes and Employment (SoFIE) for the 2002–09 period. It focusses on employees who had been working in their job for at least one year before the job loss. The impact of displacement is estimated by using a propensity score matching approach to select similar non-displaced workers and compare their employment and earnings with those of displaced workers. We find that the employment rate of displaced workers was on average 27 percentage points lower 0–1 years after displacement, 14 percentage points lower 1–2 years after, and 8 percentage points lower 2–3 years after, than that of the matched comparison group. The average wage of re-employed displaced workers was 12 percent lower 0–1 years after displacement, 11 percent lower 1–2 years after and 7 percent lower 2–3 years after. Other impacts include increases in unemployment and self-employment, reductions in average weekly hours, and reductions in weekly and annual earnings.
 
Publisher Victoria University of Wellington
 
Date 2013-01-01
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier https://ojs.victoria.ac.nz/LEW/article/view/1989
10.26686/lew.v0i0.1989
 
Source Labour, Employment and Work in New Zealand; 2013: Labour, Employment and Work in New Zealand
2463-2600
 
Language eng
 
Relation https://ojs.victoria.ac.nz/LEW/article/view/1989/1811