Minimum Hours Constraints: The Role of Organizational Practices

Maciej Albinowski and Joanna Franaszek

No 01/2024, IBS Working Papers from Instytut Badan Strukturalnych

Abstract: We investigate why firms differ in their policies toward part-time employment. We propose a new measure of minimum hours constraints (MHC) at the firm level that accounts for employees’ observable characteristics and their expected probabilities of working part-time. We apply our method to the Structure of Earnings Survey data from 19 European countries. We find substantial variation in MHC within 12 economic sectors, which suggests a significant role of firm-specific factors. To assess the role of firms’ organizational practices, we analyze the correlation between the MHC faced by core personnel and by administrative workers. We find that across all economic sectors and countries, non-administrative workers are significantly more likely to face MHC in firms where administrative workers face more rigid MHC. Our results suggest that the quantitative importance of firm-specific practices is similar to the importance of sector-specific factors.

Keywords: part-time employment; minimum hours constraints; organizational practices (search for similar items in EconPapers)
JEL-codes: J22 J29 L23 (search for similar items in EconPapers)
Pages: 45 pages
Date: 2024-01
New Economics Papers: this item is included in nep-hrm and nep-lma
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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