Affordable Access

Access to the full text

Labour market effects of job displacement for prime-age and older workers

Authors
  • Deelen, Anja1
  • de Graaf-Zijl, Marloes1
  • van den Berge, Wiljan1
  • 1 CPB Netherlands Bureau for Economic Policy Analysis, P.O. Box 80510, The Hague, GM, 2508, The Netherlands , The Hague (Netherlands)
Type
Published Article
Journal
IZA Journal of Labor Economics
Publisher
Springer Berlin Heidelberg
Publication Date
Apr 11, 2018
Volume
7
Issue
1
Identifiers
DOI: 10.1186/s40172-018-0063-x
Source
Springer Nature
Keywords
License
Green

Abstract

This paper studies the effects of firm closures associated with bankruptcies on the employment status and wages of prime-age and older workers using Dutch administrative data for the period 2000–2011. Applying difference-in-differences techniques and non-parametric matching, we find adverse effects on the probability to be in work and on wages earned in the new job, which are larger for older workers than for prime-age workers. Within the older-age group, the effects are stronger for formerly long-tenured workers, for older workers who lost their job in declining sectors in the regional labour market and for workers who changed sectors. In the prime-age group, these differences are less pronounced. Our results suggest that job- and sector-specific factors are important for understanding the more vulnerable position of older workers after job loss.

Report this publication

Statistics

Seen <100 times