EconPapers    
Economics at your fingertips  
 

Outsourcing Recruitment as a Solution to Prevent Discrimination: A Correspondence Study

Clémence Berson (), Morgane Laouénan () and Emmanuel Valat ()
Additional contact information
Morgane Laouénan: CNRS
Emmanuel Valat: University of Paris 2

No 12132, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: Many studies have proven the existence of discriminatory behavior from employers according to the origin of applicants. However, little is known about how these behaviors can be prevented. In this work, we assess how organization of recruitment in large companies affects ethnic discrimination. We consider large multi-establishment companies and distinguish two types of recruitment organization: hiring made through a human resources (HR) service at a centralized level of the company and hiring made at only the level of the establishment concerned by the position, generally by managers in charge of recruitment. To conduct our research, we rely on data from a correspondence study conducted in 2016 by the Dares (French Ministry of Labor) in large companies, which shows the existence of ethnic discrimination in hiring. This experimentation allows us to gather precise and original information on the level at which applications were selected for each of the 1,500 tests carried out. Because access to a centralized HR service is potentially endogenous, we use an instrument to assess the causal effect: whether (or not) the establishment with the job offer belongs to a company that has developed a franchise network. Our results indicate that access to a centralized HR service in the selection of applications has an important effect on the level of discrimination: This type of recruitment organization results in a 0.29-point decrease in the probability that the applicant of presumed "French" origin is selected alone.

Keywords: North African origin; large firms; hiring discrimination; organization of human resources (search for similar items in EconPapers)
JEL-codes: A13 C93 J21 J71 J78 O15 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-lma
Date: 2019-02
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://ftp.iza.org/dp12132.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:iza:izadps:dp12132

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().

 
Page updated 2019-11-20
Handle: RePEc:iza:izadps:dp12132