Labour mobility, short-time work and working from home

establishments' behaviour during the COVID-19 crisis

authored by: Lisa Bellmann, Lutz Bellmann, Olaf Hübler
Abstract: Purpose: We enquire whether short-time work (STW) avoids firings as intended by policymakers and is associated with unintended side effects by subsidising some establishments and locking in some employees. Additionally, where it was feasible, establishments used working from home (WFH) to continue working without risking an increase in COVID-19 infections and allowing employed parents to care for children attending closed schools. Design/methodology/approach: Using 21 waves of German high-frequency establishment panel data collected during the COVID-19 crisis, we investigate how STW and WFH are associated with hirings, firings, resignations and excess labour turnover (or churning). Findings: Our results show the important influences of STW and working from home on employment dynamics during the pandemic. By means of STW, establishments are able to avoid an increase in involuntary layoffs and hiring decreases significantly. In contrast, WFH is associated with a rise in resignations, as can be expected from a theoretical perspective. Originality/value: While most of the literature on STW and WFH is unrelated and remains descriptive, we consider them in conjunction and conduct panel data analyses. We apply data and methods that allow for the dynamic pattern of STW and working from home during the pandemic. Furthermore, our data include relevant establishment-level variables, such as the existence of a works council, employee qualifications, establishment size, the degree to which the establishment was affected by the COVID-19 crisis, industry affiliation and a wave indicator for the period the survey was conducted.
Organisation(s): Faculty of Economics and Management
External Organisation(s): Nicolaus Copernicus University
Institute for Employment Research (IAB) of the Federal Employment Agency
Type: Article
Journal: International journal of manpower
No. of pages: 17
ISSN: 0143-7720
Publication date: 29.03.2024
Publication status: E-pub ahead of print
Peer reviewed: Yes
ASJC Scopus subject areas: Strategy and Management, Organizational Behavior and Human Resource Management, Management of Technology and Innovation
Electronic version(s): https://doi.org/10.1108/IJM-05-2023-0256 (Access: Closed)

BibTeX

@article{c7db5f9adee54c60b059dd45161120a4,
title = "Labour mobility, short-time work and working from home: establishments' behaviour during the COVID-19 crisis",
abstract = "Purpose: We enquire whether short-time work (STW) avoids firings as intended by policymakers and is associated with unintended side effects by subsidising some establishments and locking in some employees. Additionally, where it was feasible, establishments used working from home (WFH) to continue working without risking an increase in COVID-19 infections and allowing employed parents to care for children attending closed schools. Design/methodology/approach: Using 21 waves of German high-frequency establishment panel data collected during the COVID-19 crisis, we investigate how STW and WFH are associated with hirings, firings, resignations and excess labour turnover (or churning). Findings: Our results show the important influences of STW and working from home on employment dynamics during the pandemic. By means of STW, establishments are able to avoid an increase in involuntary layoffs and hiring decreases significantly. In contrast, WFH is associated with a rise in resignations, as can be expected from a theoretical perspective. Originality/value: While most of the literature on STW and WFH is unrelated and remains descriptive, we consider them in conjunction and conduct panel data analyses. We apply data and methods that allow for the dynamic pattern of STW and working from home during the pandemic. Furthermore, our data include relevant establishment-level variables, such as the existence of a works council, employee qualifications, establishment size, the degree to which the establishment was affected by the COVID-19 crisis, industry affiliation and a wave indicator for the period the survey was conducted.",
keywords = "COVID-19, High-frequency establishment data, Labour mobility, Panel analysis, Short-time work, Working from home",
author = "Lisa Bellmann and Lutz Bellmann and Olaf H{\"u}bler",
year = "2024",
month = mar,
day = "29",
doi = "10.1108/IJM-05-2023-0256",
language = "English",
journal = "International journal of manpower",
issn = "0143-7720",
publisher = "Emerald Group Publishing Ltd.",
}