Download or read book Sources of Displaced Workers Long Term Earnings Losses written by Marta Lachowska and published by . This book was released on 2018 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt: We estimate the earnings losses of a cohort of workers displaced during the Great Recession and decompose those long-term losses into components attributable to fewer work hours and to reduced hourly wage rates. We also examine the extent to which the reduced earnings, work hours, and wages of these displaced workers can be attributed to factors specific to pre- and post-displacement employers; that is, to employer-specific fixed effects. The analysis is based on employer-employee linked panel data from Washington State assembled from 2002--2014 administrative wage and unemployment insurance (UI) records. Three main findings emerge from the empirical work. First, five years after job loss, the earnings of these displaced workers were 16 percent less than those of comparison groups of non-displaced workers. Second, earnings losses within a year of displacement can be explained almost entirely by lost work hours; however, five years after displacement, the relative earnings deficit of displaced workers can be attributed roughly 40 percent to reduced hourly wages and 60 percent to reduced work hours. Third, for the average displaced worker, lost employer-specific premiums account for about 11 percent of long-term earnings losses and nearly 25 percent of lower long-term hourly wages. For workers displaced from employers paying top-quintile earnings premiums (about 60 percent of the displaced workers in the sample), lost employer-specific premiums account for more than half of long-term earnings losses and 83 percent of lower long-term hourly wages.Three main findings emerge from the empirical work. First, five years after job loss, the earnings of these displaced workers were 16 percent less than those of comparison groups of non-displaced workers. Second, earnings losses within a year of displacement can be explained almost entirely by lost work hours; however, five years after displacement, the relative earnings deficit of displaced workers can be attributed roughly 40 percent to reduced hourly wages and 60 percent to reduced work hours. Third, for the average displaced worker, lost employer-specific premiums account for about 11 percent of long-term earnings losses and nearly 25 percent of lower long-term hourly wages. For workers displaced from employers paying top-quintile earnings premiums (about 60 percent of the displaced workers in the sample), lost employer-specific premiums account for more than half of long-term earnings losses and 83 percent of lower long-term hourly wages.

Download or read book Earnings Losses of Displaced Workers written by Louis S. Jacobson and published by . This book was released on 1992 with total page 64 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Earnings Losses After Involuntary Displacement written by Christopher Erath and published by . This book was released on 1997 with total page 384 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Firm s Role in Displaced Workers Earnings Losses written by Brendan Moore and published by . This book was released on 2019 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We use employer-employee matched administrative data from Ohio to study the role of firm pay premiums in explaining the large, persistent earnings losses of displaced workers. We estimate that earnings for displaced workers from the mid-2000s are depressed by 22 percent after four years, consistent with prior work. Drawing upon empirical approaches from the displaced worker and firm heterogeneity literature, we then estimate how much of this earnings loss can be explained by the forfeiture of a favorable employer-specific pay premium. Our preferred estimate attributes one quarter (24 percent) of long-run earnings deficits to lost firm pay premiums. Such firm rents explain up to half the earnings deficits for those laid off from manufacturing firms and employers with particularly generous pay policies. We test for sensitivity to different samples from which we derive firm specific-pay premiums and definitions of displacement. Our estimates persist in a narrow range between 16 and 24 percent for the share explained by firm rents, adding to the evidence that firm rents do not explain the majority of earnings or wage losses sustained by displaced workers in the United States.

Download or read book Long Run Wage and Earnings Losses of Displaced Workers written by Roger White and published by . This book was released on 2007 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Displacement-related losses are estimated using NLSY79 data that span the years 1979-2000. The typical displaced worker faces losses of $34,065 during the period four years prior through five years following displacement. Proportionally, this represents a 10.8 percent loss compared to earnings of similar non-displaced workers over the period. Considerable variation in losses is reported across worker types. Union, male and more mature workers suffer greater losses, respectively, than do their non-union, female and younger counterparts. College graduates and high school dropouts are found to suffer lower losses compared to high school diploma holders and those who completed some college.

Download or read book Earnings Losses of Workers Displaced from Manufacturing Industries written by Louis S. Jacobson and published by . This book was released on 1976 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: A particularly sensitive current policy issue is the effect of changes in tariffs and quotas on employment and earnings. This study examines empirically some of the effects of a permanent labor displacement which might result from changes in international trade policy. Specifically, it presents estimates of how job displacement would change the long-term earnings of workers in 11 industries, and relates the findings to industry characteristics so that they can be projected to industries not directly studied. This study was designed to assist in determining industries in which trade liberalization would impose large losses on workers. Results show that average prime age male workers suffer substantial losses of earnings in industries where the normal rate of labor turnover is low and prime age males make up a high percentage of the total labor force. These industries also tend to be high wage industries. Displacement from the auto and steel industries is estimated to reduce earnings over a 6 year period by about 24%, and by almost as much in several other high wage industries. The estimated loss in low wage industries was much smaller, averaging about 5%, in some cases, such as cotton weaving, no appreciable loss could be detected.

Download or read book The Costs of Job Displacement Over the Business Cycle and Its Sources written by Johannes F. Schmieder and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We document the sources behind the costs of job loss over the business cycle using administrative data from Germany. Losses in annual earnings after displacement are large, persistent, and highly cyclical, nearly doubling in size during downturns. A large part of the long-term earnings losses and their cyclicality is driven by declines in wages. Key to these long-lasting wage declines and their cyclicality are changes in employer characteristics, as displaced workers switch to lower-paying firms. Changes in characteristics of workers or displacing firms explain little of the cyclicality, though non-employment durations correlated with losses in employer effects play a role.

Download or read book Understanding the Sources of Earnings Losses After Job Displacement written by Andreas Gulyas and published by . This book was released on 2021 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We implement a generalized random forest (Athey et al., 2019) to a differencein-difference setting to identify substantial heterogeneity in earnings losses across displaced workers. Using administrative data from Austria over three decades we document that a quarter of workers face cumulative 11-year losses higher than 2 times their pre-displacement annual income, while almost 10% of individuals experience gains. Our methodology allows us to consider many competing theories of earnings losses. We find that the displacement firm's wage premia and the availability of well paying jobs in the local labor market are the two most important factors. This implies that earnings losses can be understood by mean reversion in firm wage premia and losses in match quality, rather than by a destruction of firm-specific human capital. We further show that 94% of the cyclicality of earnings losses is explained by compositional changes of displaced workers over the business cycle.

Download or read book The Costs of Worker Dislocation written by Louis S. Jacobson and published by W. E. Upjohn Institute. This book was released on 1993 with total page 204 pages. Available in PDF, EPUB and Kindle. Book excerpt: Based on a study of earning losses suffered by a group of experienced workers in Pennsylvania, USA who separated from their firms between 1980 and 1986. Examines how these losses depend on various characteristics of the workers and their former employers.

Download or read book Displaced Workers in Mass Layoffs written by Sara de la Rica and published by . This book was released on 1992 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Disposable Work Force written by Thomas Moore and published by Routledge. This book was released on 2018-02-06 with total page 249 pages. Available in PDF, EPUB and Kindle. Book excerpt: The twenty-first century has witnessed a transformation of the organization, opportunities, and terms of work. Downsizing, restructuring, and outsourcing are the forces altering employment relationships throughout the work force. Those who tend to see the future in a positive light view the evolving role between employer and employee as empowering for the individual. This book examines the consequences of economic instability due to job loss and the displacement of millions of workers. It draws upon case studies of worker displacement as well as national labor force surveys. Thomas S. Moore finds that consequences of economic instability are productivity slowdown, increased disparities in earnings and income, and higher average unemployment. He assesses the extent of job loss nationwide, its costs to the individuals directly affected, and the way in which the incidence of displacement and earnings loss has shifted over time. Although drawn from an earlier period, the data have an obvious relevance to today's labor markets. Moore argues for an employment and training system that gives employers an incentive to invest in the skills of their employees. Federally funded training programs have not improved the earning ability of displaced and disadvantaged workers, and state-sponsored programs tend to exclude those most in need of assistance. Moore suggests direct employer investment in the general skills of employees. Initially published in a different economic downturn, this continues to be a must read book for all economists, sociologists, and policymakers.

Download or read book Back to Work United States Improving the Re employment Prospects of Displaced Workers written by OECD and published by OECD Publishing. This book was released on 2016-12-06 with total page 152 pages. Available in PDF, EPUB and Kindle. Book excerpt: Job displacement (involuntary job loss due to firm closure or downsizing) affects many workers over their lifetime. This report looks at how this challenge is being tackled in the United States.

Download or read book Decomposing the Wage Losses of Displaced Workers written by Pedro S. Raposo and published by . This book was released on 2015 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Using an unusually rich matched employer-employee-job title data set for Portugal, this paper evaluates the sources of wage losses of workers displaced due to firm closure based on the comparison of workers' wages differentials before and after displacement. Potential wage losses of displaced workers can be related to firm, job title, and match heterogeneity in the pre- and post-displacement jobs. In this vein, we estimate a three-way high-dimensional fixed effects regression model that enables us to decompose the sources of the wage losses into the contribution of firm, job title, and match fixed effects. The worker-firm match plays a very sizable role. We found that the allocation of workers into poorer matches accounts for 38 percent of the total average wage loss. Sorting among firms accounts for 36 percent. Job downgrading also plays a significant role in explaining the wage loss of displaced workers, accounting for the remaining 26 percent.

Download or read book The Effects of Job Displacement on Post Displacement Earnings written by Thomas N. Daymont and published by . This book was released on 2003 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The purpose of this research is to examine the long-term effects of job displacement on the subsequent earnings of displaced workers. Previous empirical research has suggested that job displacement reduces the short-term post-displacement earnings an average of about 15 percent relative to what their earnings would have been had they not been displaced. This research uses a fixed effects model and data over a 22-year period from the PSID to assess the long-term earnings effects of job displacement. The results support and extend previous research in finding that earnings losses due to job displacement are substantial and persist for many years.

Download or read book Losses to Workers Displaced by Plant Closure Or Layoff written by Arlene Holen and published by . This book was released on 1976 with total page 104 pages. Available in PDF, EPUB and Kindle. Book excerpt: Workers who are displaced when a plant closes, or when there is a permanent layoff resulting from reduced demand, usually suffer losses in earnings. These losses are due to unemployment and to wage reductions which reflect more permanent impairment of earnings capacity. It is important to know the long terms effects of job displacement. Many prospective changes in government policy can result in reductions in demand for specific products and lead to some job displacement. This paper reviews seventeen recent studies of the effects of job loss on earnings. They range from case studies of specific plant closures to more broadly based studies of the effects of job loss, in which control groups are used to estimate losses in earnings over a number of years after layoff. Methods of analysis range from simple tabulations to estimation of income determination models based on human capital theory. The losses documented in these studies can be taken to illustrate the magnitude of losses that would result from displacements due to increased import penetration. Some of the studies deal with job losses specifically due to increased import competition, but all are concerned with job losses following declines in demand for domestic production. Whatever the cause of a fall in demand for the products of an industry, increased import penetration, changes in tastes, etc., the skills of workers that are specifically adapted to either the industry or to particular firms within that industry become less valuable.

Download or read book Job Loss from Imports written by Lori G. Kletzer and published by Peterson Institute. This book was released on 2001 with total page 148 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this study of the medium-term effects of trade displacement on American workers, Kletzer uses worker-level data from the US Displaced Worker Surveys to examine the pattern of reemployment following trade-related job loss. She also analyzes regional and local labor market variations, and concludes by exploring the implications of her findings for US policy on linking the labor market and international trade.

Download or read book Losing Work Moving on written by Peter Joseph Kuhn and published by W.E. Upjohn Institute. This book was released on 2002 with total page 561 pages. Available in PDF, EPUB and Kindle. Book excerpt: And synthesis / Peter J. Kuhn -- Displaced workers in the United States and the Netherlands / Joap H. Abbring ... [et al.] -- Worker displacement in Japan and Canada / Masahiro Abe ... [et al.] -- They get knocked down. do they get up again? / Jeff Borland ... [et al.] -- Worker displacement in France and Germany / Stefan Bender ... [et al.] -- Employment protection and the consequences for displaced workers / Karsten Albk, Marc Van Audenrode, and Martin Browning.