Does corporate social responsibility make over-educated workers more productive?

R. Giuliano, B. Mahy, Francois Rycx and Guillaume Vermeylen ()

Applied Economics, 2017, vol. 49, issue 6, 587-605

Abstract: This article provides first evidence on whether corporate social responsibility (CSR) influences the productivity effects of over-education. By relying on detailed Belgian-linked employer–employee panel data covering the period 1999–2010, our empirical results exhibit a positive and significant impact of over-education on firm productivity. Moreover, they suggest that the effect of over-education is positively enhanced when the firm implements a CSR process, especially when it aims to have: (i) a good match between job requirements and workers’ educational level, (ii) a diverse workforce in terms of gender and age, and (iii) a long-term relationship with its workers. When focussing on required education and over-education, the results suggest that CSR, besides representing an innovative and proactive approach for the firms’ stakeholders, may also be beneficial for the firm itself through a bigger increase in productivity for each additional year of required education or over-education.

Date: 2017
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DOI: 10.1080/00036846.2016.1203061

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