Occupational routine intensity and the costs of job loss: evidence from mass layoffs

Uwe Blien (), Wolfgang Dauth and Duncan Roth

Labour Economics, 2021, vol. 68, issue C

Abstract: This paper examines if workers face larger costs from losing their job in a mass layoff whether they were employed in routine-intensive occupations as technological change erodes their employment perspectives outside of their original job. We use worker-level data on mass layoffs in Germany between 1980 and 2010 and provide evidence that workers who were employed in more routine-intensive occupations indeed suffer larger and more persistent earnings losses. We find that earnings losses are primarily due to a reduction in the number of days in employment, suggesting that routine-intensive workers face considerable difficulties in coping with job loss. The additional displacement costs associated with routine intensity have increased over time.

Keywords: routine intensity; labour market biographies; mass layoffs; occupational mobility; triple differences; Germany (search for similar items in EconPapers)
JEL-codes: J24 J63 O33 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (36)

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Related works:
Working Paper: Occupational routine-intensity and the costs of job loss: evidence from mass layoffs (2019)
Working Paper: Occupational Routine-Intensity and the Costs of Job Loss: Evidence from Mass Layoffs (2019)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:labeco:v:68:y:2021:i:c:s0927537120301573

DOI: 10.1016/j.labeco.2020.101953

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