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Temporary Work in Coordinated Market Economies: Evidence from Front-Line Service Workplaces

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  • Karen A. Shire
  • Hannelore Mottweiler
  • Annika Schönauer
  • Mireia Valverde

Abstract

The growing use of temporary contracts in Europe raises the question of whether long-term employment relations are eroding in coordinated market economies, where protective regulations are historically strong. This paper, using data from establishment-level surveys conducted in 2003–2005, examines the institutional and organizational factors that have shaped the extent of use of temporary contracts in call centers in six European countries: Austria, Denmark, France, Germany, Spain, and Sweden. While differences in regulatory regimes appear to have influenced employer behavior in some cases, the exceptions are striking, as the countries with the most stringent restrictions on temporary workers were among the heaviest users of such workers. By contrast, firm-level strategies that retained work in-house and invested in work force skills and training were consistent predictors of the use of long-term contracts as opposed to temporary ones.

Suggested Citation

  • Karen A. Shire & Hannelore Mottweiler & Annika Schönauer & Mireia Valverde, 2009. "Temporary Work in Coordinated Market Economies: Evidence from Front-Line Service Workplaces," ILR Review, Cornell University, ILR School, vol. 62(4), pages 602-617, July.
    • Handle: RePEc:sae:ilrrev:v:62:y:2009:i:4:p:602-617
    DOI: 10.1177/001979390906200407
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    References listed on IDEAS

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    1. Katharine G. Abraham, 1988. "Flexible Staffing Arrangements and Employers' Short-Term Adjustment Strategies," NBER Working Papers 2617, National Bureau of Economic Research, Inc.
    2. Marsden, David, 1999. "A Theory of Employment Systems: Micro-Foundations of Societal Diversity," OUP Catalogue, Oxford University Press, number 9780198294221.
    3. Susan N. Houseman, 2001. "Why Employers Use Flexible Staffing Arrangements: Evidence from an Establishment Survey," ILR Review, Cornell University, ILR School, vol. 55(1), pages 149-170, October.
    4. Gary S. Becker, 1964. "Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education, First Edition," NBER Books, National Bureau of Economic Research, Inc, number beck-5.
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    1. Valeria Pulignano & Andrea Signoretti, 2016. "Union Strategies, National Institutions and the Use of Temporary Labour in Italian and US Plants," British Journal of Industrial Relations, London School of Economics, vol. 54(3), pages 574-596, September.
    2. Smirnykh, Larisa & Wörgötter, Andreas, 2019. "The importance of institutional and organizational characteristics for the use of fixed-term contracts in Russia," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 24(1), pages 89-121.
    3. Werner Eichhorst, 2015. "The Unexpected Appearance of a New German Model," British Journal of Industrial Relations, London School of Economics, vol. 53(1), pages 49-69, March.
    4. Alexander Schiersch, 2015. "TFP, Labor Productivity and the (Un)observed Labor Input: Temporary Agency Work," Discussion Papers of DIW Berlin 1532, DIW Berlin, German Institute for Economic Research.
    5. Schiersch, Alexander, 2016. "Considering the (Un)observed: temporary agency work in productivity estimations," VfS Annual Conference 2016 (Augsburg): Demographic Change 145749, Verein für Socialpolitik / German Economic Association.
    6. Smirnych, L. I. & Wörgötter, Andreas, 2016. "The importance of institutional and organizational characteristics for the use of fixed-term and agency work contracts in Russia," ECON WPS - Working Papers in Economic Theory and Policy 09/2016, TU Wien, Institute of Statistics and Mathematical Methods in Economics, Economics Research Unit.

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