Integrating the Internal and External Labour Markets

Damian Grimshaw and Jill Rubery

Cambridge Journal of Economics, 1998, vol. 22, issue 2, 199-220

Abstract: Evidence of shifts towards atomized relations in the labor market appears to conflict with economic theories of the internal labor market. The problem, however, lies not with the irrelevance of internal labor market systems and broader institutional structures but rather with the misspecification of theoretical analysis. New institutional and labor market segmentation models are typically restricted to a static, dualistic framework of comparative forms of work organization. This paper outlines a dynamic approach to the study of internal labor markets. The authors argue that internal and external competitive pressures mutually interact to shape employer strategy and the relative labor market positions of employees. Copyright 1998 by Oxford University Press.

Date: 1998
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