EconPapers    
Economics at your fingertips  
 

The Health Externalities of Downsizing

Alexander Ahammer (), Dominik Grübl and Rudolf Winter-Ebmer ()

CINCH Working Paper Series (since 2020) from Duisburg-Essen University Library, DuEPublico

Abstract: We show that downsizing has substantial externalities on the health of workers who remain in the firm. To this end, we study mass layoff (ML) survivors in Austria, using workers who survive a ML themselves, but a few years in the future, as a control group. Based on high‐quality administrative data, we find evidence that downsizing has persistent effects on mental and physical health, and that these effects can be explained by workers fearing for their own jobs. We also show that health externalities due to downsizing imply non‐negligible cost for firms, and that wage cuts may have similar effects.

Keywords: Downsizing; Survivors; Mass Layoffs; Health; Job Insecurity (search for similar items in EconPapers)
Date: 2021-07-05
New Economics Papers: this item is included in nep-hea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
https://duepublico2.uni-due.de/servlets/MCRFileNod ... CINCH_WP_2021_02.pdf (application/pdf)

Related works:
Working Paper: The health externalities of downsizing (2020) Downloads
Working Paper: The health externalities of downsizing (2020) Downloads
Working Paper: The Health Externalities of Downsizing (2020) Downloads
Working Paper: The health externalities of downsizing (2020) Downloads
Working Paper: The health externalities of downsizing (2020) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ajt:wcinch:74533

DOI: 10.17185/duepublico/74533

Access Statistics for this paper

More papers in CINCH Working Paper Series (since 2020) from Duisburg-Essen University Library, DuEPublico Contact information at EDIRC.
Bibliographic data for series maintained by DuEPublico ( this e-mail address is bad, please contact ).

 
Page updated 2021-10-16
Handle: RePEc:ajt:wcinch:74533