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Multinational firms and job tasks

Katariina Nilsson Hakkala, Fredrik Heyman and Fredrik Sjöholm

No 8, Working Papers from VATT Institute for Economic Research

Abstract: We analyze the impact of multinational and foreign ownership on the demand for job tasks and educational skills. By using Swedish matched employer-employee data, we find that both foreign and domestic multinational firms have high shares of non-routine tasks and tasks requiring personal interaction. Moreover, acquisitions of local firms by multinationals increase the relative demand for non-routine and interactive job tasks in the targeted firms. The differences in the demand for job tasks are only partly explained by firm characteristics. Dividing employees by education instead of job tasks does not result in the same effects on relative labor demand, which shows that task measures do indeed capture a new labor market aspect.

Keywords: FDI, Cross-Border Acquisitions, Multinational Enterprises, Foreign Ownership, Job Tasks, Labor Demand, Skill Groups, Labour market, Työmarkkinat, Labor market and policies promoting economic growth, Työmarkkinat ja kasvua tukeva politiikka, F160 - Trade and Labor Market Interactions, F210 - International Investment; Long-term Capital Movements, F230 - Multinational Firms; International Business (International Competitiveness), J230 - Employment Determination; Job Creation; Demand for Labor; Self-Employment, (search for similar items in EconPapers)
Date: 2009
New Economics Papers: this item is included in nep-bec, nep-lab and nep-sbm
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Citations: View citations in EconPapers (12)

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https://www.doria.fi/handle/10024/148747

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