The wage and non-wage costs of displacement in boom times: Evidence from Russia

Hartmut Lehmann (), Alexander Muravyev, Tiziano Razzolini () and Anzelika Zaiceva
Authors registered in the RePEc Author Service: Александр Муравьев

Journal of Comparative Economics, 2013, vol. 41, issue 4, 1184-1201

Abstract: This paper analyzes the costs of job loss over the years of a booming economy, 2003–2008, using unique data from the Russian Longitudinal Monitoring Survey. In addition to analyzing standard labor market outcomes, such as forgone earnings, employment, hours worked and wage penalties, our unique data set allows us to investigate additional non-wage costs of displacement, in particular, fringe benefits, the propensity to have an informal employment relationship or a temporary contract. We find that displaced individuals face large foregone earnings following displacement, which are heterogeneous across education and ownership type of firm from which the worker separated. There is no evidence of wage penalties for re-employed displaced workers. However, we find an increased probability of working in informal or temporary jobs if previously displaced and a reduction in the number of benefits.

Keywords: Costs of job loss; Worker displacement; Propensity score matching; Russia (search for similar items in EconPapers)
JEL-codes: J64 J65 P50 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jcecon:v:41:y:2013:i:4:p:1184-1201

DOI: 10.1016/j.jce.2013.02.004

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