Employer-to-Employer Mobility and Wages in Europe and the United States

Daniel Borowczyk-Martins ()
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Daniel Borowczyk-Martins: Copenhagen Business School

No 17719, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: I produce novel evidence on worker reallocation across employers and between employment and nonemployment/unemployment for several European countries over the past two decades. I construct a dataset of monthly transition rates by developing a novel approach to measure them using cross-sectional data from the European Union Labor Force Survey. Transition rates exhibit similar cyclical patterns across countries, but their levels are persistently different. I compute an indicator of the pace of worker reallocation up the job ladder, and find that it varies substantially across countries, is pro-cyclical, and exhibits a systematic positive relationship with wage inflation.

Keywords: labor market flows; job ladder; business cycles; wage inflation; Phillips curve (search for similar items in EconPapers)
JEL-codes: E24 E32 J63 (search for similar items in EconPapers)
Pages: 80 pages
Date: 2025-02
New Economics Papers: this item is included in nep-eec, nep-eur, nep-lab and nep-tid
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