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The magic of the new: How job changes affect job satisfaction

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  • Adrian Chadi
  • Clemens Hetschko

Abstract

We investigate a crucial event for job satisfaction: changing one's workplace. For representative German panel data, we show that the reason why the previous employment ended is strongly linked to satisfaction with the new job. Workers initiating a change of employer experience extraordinarily high job satisfaction, though in the short term only. To investigate causality, we exploit the event of plant closure as an exogenous trigger of job switching. In this case, we find no significantly positive effect of job changes on job satisfaction. Our findings complement research on workers’ well‐being and concern labor market policies and human resource management.

Suggested Citation

  • Adrian Chadi & Clemens Hetschko, 2018. "The magic of the new: How job changes affect job satisfaction," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(1), pages 23-39, March.
    • Handle: RePEc:bla:jemstr:v:27:y:2018:i:1:p:23-39
    DOI: 10.1111/jems.12217
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    More about this item

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • M50 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - General

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