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Temporary Agency Work and Firm Competitiveness - Evidence from a panel data set of German manufacturing enterprises

Sebastian Nielen () and Alexander Schiersch

No sdp11006, Schumpeter Discussion Papers from Universitätsbibliothek Wuppertal, University Library

Abstract: This paper addresses the relationship between the utilization of temporary agency workers by firms and their competitiveness measured by unit labor costs, using a rich, newly built, data set of German manufacturing enterprises. The analysis is conducted by applying different panel data models while taking the inherent selection problem into account. Making use of dynamic panel data models allows us to control for firm specific fixed effects as well as for potential endogeneity of explanatory variables. The results indicate a U-shaped relationship between the extent that temporary agency workers are used and the competitiveness of firms.

Keywords: temporary agency work; competitiveness; firm performance; manufacturing (search for similar items in EconPapers)
JEL-codes: D24 J24 L60 (search for similar items in EconPapers)
Pages: 21
Date: 2011-06
New Economics Papers: this item is included in nep-bec, nep-cse, nep-eff and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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