Employment Protection by Job Retention Schemes in a Segmented Labor Market

Raquel Carrasco, Virginia Hernanz and Juan Francisco Jimeno

No eee2024-25, Studies on the Spanish Economy from FEDEA

Abstract: This article examines the effects of Job Retention Schemes (JRS) on the employment status and wages of permanent and temporary workers in the short and medium term during the COVID-19 crisis in Spain. Traditionally, labour market adjustments in Spain have relied on changes in temporary employment, while permanent workers have enjoyed greater job stability due to strict firing regulations. The main policy response to the COVID-19 crisis was the extension of JRS across sectors, occupations, and, for the first time, to temporary workers. Using data from administrative records, the analysis reveals that, while the protection offered by JRS did not entirely bridge the gap with permanent workers, it did provide temporary workers with higher employment probabilities and wage gains after the crisis compared to similar workers pushed into unemployment.

Date: 2024-07
New Economics Papers: this item is included in nep-lab
References: Add references at CitEc
Citations:

Downloads: (external link)
https://documentos.fedea.net/pubs/eee/2024/eee2024-25.pdf (application/pdf)

Related works:
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:fda:fdaeee:eee2024-25

Access Statistics for this paper

More papers in Studies on the Spanish Economy from FEDEA
Bibliographic data for series maintained by Carmen Arias ().