IDEAS home Printed from https://ideas.repec.org/a/sae/urbstu/v39y2002i8p1399-1416.html
   My bibliography  Save this article

Mismatch in Local Labour Markets in Central Scotland: The Neglected Role of Demand

Author

Listed:
  • John Adams

    (School of Accounting and Economics, Napier University, Sighthill Campus, Edinburgh, EH11 4BN, UK, j.adams@napier.ac.uk)

  • Malcolm Greig

    (Employment Research Institute, Napier University, Redwood House, 66 Spylaw Road, Edinburgh, EH10 5BR, UK, m.greig@napier.ac.uk)

  • Ronald W. McQuaid

    (Employment Research Institute, Napier University, Redwood House, 66 Spylaw Road, Edinburgh, EH10 5BR, UK, r.mcquaid@napier.ac.uk)

Abstract

This paper presents a model of mismatch unemployment in two local labour markets in Scotland. A total of seven possible sources of such unemployment are identified and examined within the context of a predominantly urban area and a mixed urban-rural area. These are contiguous travel-to-work-areas (TTWAs). The paper attempts to identify what causes recruitment difficulties and discusses the extent to which the problem is demand-induced. A survey of employer practices and attitudes is followed up by multiple regression analysis to determine the effect of these practices on vacancy duration. The analysis shows that there are certain recruitment practices and inherent characteristics of employers which result in job offers that are either unattractive or inaccessible to the unemployed. It is argued that design of policy for implementation at the local level needs to take account more explicitly of the demand side of the local labour market than has so far been evident in the UK approach to the skill mismatch issue.

Suggested Citation

  • John Adams & Malcolm Greig & Ronald W. McQuaid, 2002. "Mismatch in Local Labour Markets in Central Scotland: The Neglected Role of Demand," Urban Studies, Urban Studies Journal Limited, vol. 39(8), pages 1399-1416, July.
  • Handle: RePEc:sae:urbstu:v:39:y:2002:i:8:p:1399-1416
    DOI: 10.1080/00420980220142691
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1080/00420980220142691
    Download Restriction: no

    File URL: https://libkey.io/10.1080/00420980220142691?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Layard, Richard & Nickell, Stephen & Jackman, Richard, 2005. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780199279173.
    2. Andrea Weber, 2000. "Vacancy durations - a model for employer's search," Applied Economics, Taylor & Francis Journals, vol. 32(8), pages 1069-1075.
    3. Marimon, Ramon & Zilibotti, Fabrizio, 1999. "Unemployment vs. Mismatch of Talents: Reconsidering Unemployment Benefits," Economic Journal, Royal Economic Society, vol. 109(455), pages 266-291, April.
    4. A. E. Green, 1997. "Exclusion, Unemployment and Non-employment," Regional Studies, Taylor & Francis Journals, vol. 31(5), pages 505-520.
    5. Ron Dore, 1994. "Incurable Unemployment: A Progressive Disease of Modern Societies?," CEP Occasional Papers 06, Centre for Economic Performance, LSE.
    6. Robert Dur, 1999. "Mismatch between unemployment and vacancies in the Dutch labour market," Applied Economics, Taylor & Francis Journals, vol. 31(2), pages 237-244.
    7. Stephen Seninger, 1997. "Jobless spells and re-employment wages," Applied Economics, Taylor & Francis Journals, vol. 29(9), pages 1169-1177.
    8. Dore, Ron, 1994. "Incurable unemployment: a progressive disease of modern societies?," LSE Research Online Documents on Economics 28741, London School of Economics and Political Science, LSE Library.
    9. Manning, Alan, 1995. "Developments in Labour Market Theory and Their Implications for Macroeconomic Policy," Scottish Journal of Political Economy, Scottish Economic Society, vol. 42(3), pages 250-266, August.
    10. Polachek, Solomon W & Yoon, Bong Joon, 1987. "A Two-tiered Earnings Frontier Estimation of Employer and Employee Information in the Labor Market," The Review of Economics and Statistics, MIT Press, vol. 69(2), pages 296-302, May.
    11. Webster, David, 2000. "The Geographical Concentration of Labour-Market Disadvantage," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 16(1), pages 114-128, Spring.
    12. John Adams & Malcolm Greig & Ronald W McQuaid, 2000. "Mismatch Unemployment and Local Labour-Market Efficiency: The Role of Employer and Vacancy Characteristics," Environment and Planning A, , vol. 32(10), pages 1841-1856, October.
    13. Snower, Dennis J, 1995. "Evaluating Unemployment Policies: What Do the Underlying Theories Tell Us?," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 11(1), pages 110-135, Spring.
    14. Holzer, Harry J, 1988. "Search Method Use by Unemployed Youth," Journal of Labor Economics, University of Chicago Press, vol. 6(1), pages 1-20, January.
    15. Cees Gorter & Jos Van Ommeren, 1999. "Sequencing, timing and filling rates of recruitment channels," Applied Economics, Taylor & Francis Journals, vol. 31(10), pages 1149-1160.
    16. Mr. Dennis J. Snower, 1995. "Evaluating Unemployment Policies: What Do the Underlying Theories Tell Us?," IMF Working Papers 1995/007, International Monetary Fund.
    17. Maria Teresa Gonzalo & Jan Saarela, 2000. "Gender differences in exit rates from unemployment: evidence from," Finnish Economic Papers, Finnish Economic Association, vol. 13(2), pages 129-139, Autumn.
    18. Osberg, Lars, 1995. "The Missing Link - Data on the Demand Side of Labour Markets," Analytical Studies Branch Research Paper Series 1995077e, Statistics Canada, Analytical Studies Branch.
    19. G Russo & P Rietveld & P Nijkamp & C Gorter, 1996. "Spatial Aspects of Recruitment Behaviour of Firms: An Empirical Investigation," Environment and Planning A, , vol. 28(6), pages 1077-1093, June.
    20. Roy Cromb, 1993. "A Survey of Recent Econometric Work on the NAIRU," Journal of Economic Studies, Emerald Group Publishing, vol. 20(1/2), pages 27-51, January.
    21. Bosworth, Derek, 1993. "Skill Shortages in Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 40(3), pages 241-271, August.
    22. Martin Abraham & Bernhard Prosch, 2000. "Long-Term Employment Relationships By Credible Commitments," Rationality and Society, , vol. 12(3), pages 283-306, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ian Shuttleworth & Peter Tyler & Darren McKinstry, 2005. "Redundancy, Readjustment, and Employability: What Can We Learn from the 2000 Harland & Wolff Redundancy?," Environment and Planning A, , vol. 37(9), pages 1651-1668, September.
    2. Paul Spoonley, 2008. "Utilising a Demand-led Approach in a Local Labour Market," Local Economy, London South Bank University, vol. 23(1), pages 19-30, February.
    3. Mangan, John & Trendle, Bernard, 2017. "Hard-to-fill vacancies: An analysis of demand side responses in the Australian state of Queensland," Economic Analysis and Policy, Elsevier, vol. 54(C), pages 49-56.
    4. Greig, Malcolm Stewart & Lindsay, Colin & McQuaid, Ronald W., 2002. "Delivering job search services in rural labour markets: the role of ICT," ERSA conference papers ersa02p235, European Regional Science Association.
    5. Ronald W. McQuaid & Colin Lindsay, 2005. "The Concept of Employability," Urban Studies, Urban Studies Journal Limited, vol. 42(2), pages 197-219, February.
    6. David Devins & Terence Hogarth, 2005. "Employing the Unemployed: Some Case Study Evidence on the Role and Practice of Employers," Urban Studies, Urban Studies Journal Limited, vol. 42(2), pages 245-256, February.
    7. M. J. Andrews & S. Bradley & D. Stott & R. Upward, 2008. "Successful Employer Search? An Empirical Analysis of Vacancy Duration Using Micro Data," Economica, London School of Economics and Political Science, vol. 75(299), pages 455-480, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Adams, John & Greig, Malcolm & McQuaid, Ronald W., 1999. "Mismatch and unemployment in local labour markets," ERSA conference papers ersa99pa027, European Regional Science Association.
    2. John Adams & Malcolm Greig & Ronald W. McQuaid, 2001. "Are Spatially Focused Initiatives in Current Economic Inclusion Policies Well Founded?," Local Economy, London South Bank University, vol. 16(3), pages 236-248, August.
    3. McQuaid, Ronald W., 2009. "A model of the travel to work limits of parents," Research in Transportation Economics, Elsevier, vol. 25(1), pages 19-28.
    4. Elizabeth Webster, 1999. "Macroeconomic Evaluations of Labour Market Programs," The Economic and Labour Relations Review, , vol. 10(1), pages 107-125, June.
    5. John Adams & Malcolm Greig & Ronald W McQuaid, 2000. "Mismatch Unemployment and Local Labour-Market Efficiency: The Role of Employer and Vacancy Characteristics," Environment and Planning A, , vol. 32(10), pages 1841-1856, October.
    6. David Devins & Terence Hogarth, 2005. "Employing the Unemployed: Some Case Study Evidence on the Role and Practice of Employers," Urban Studies, Urban Studies Journal Limited, vol. 42(2), pages 245-256, February.
    7. M. J. Andrews & S. Bradley & D. Stott & R. Upward, 2008. "Successful Employer Search? An Empirical Analysis of Vacancy Duration Using Micro Data," Economica, London School of Economics and Political Science, vol. 75(299), pages 455-480, August.
    8. BURGGRAEVE Koen & DU CAJU Philip, 2010. "How Do Reference Values for Wages and Wage Indexing Influence the Impact of Labour Tax Reductions?," EcoMod2003 330700028, EcoMod.
    9. Ronald W. McQuaid & Colin Lindsay, 2005. "The Concept of Employability," Urban Studies, Urban Studies Journal Limited, vol. 42(2), pages 197-219, February.
    10. Lonnie Golden & Stuart Glosser, 2013. "Work sharing as a potential policy tool for creating more and better employment: A review of the evidence," Chapters, in: Jon C. Messenger & Naj Ghosheh (ed.), Work Sharing during the Great Recession, chapter 7, pages 203-258, Edward Elgar Publishing.
    11. Colin Lindsay & Ronald W. McQuaid, 2004. "Avoiding the ‘McJobs’," Work, Employment & Society, British Sociological Association, vol. 18(2), pages 297-319, June.
    12. Paul Spoonley, 2008. "Utilising a Demand-led Approach in a Local Labour Market," Local Economy, London South Bank University, vol. 23(1), pages 19-30, February.
    13. Costain, James S. & Reiter, Michael, 2008. "Business cycles, unemployment insurance, and the calibration of matching models," Journal of Economic Dynamics and Control, Elsevier, vol. 32(4), pages 1120-1155, April.
    14. Yashiv, Eran, 2007. "Labor search and matching in macroeconomics," European Economic Review, Elsevier, vol. 51(8), pages 1859-1895, November.
    15. repec:hum:wpaper:sfb649dp2005-034 is not listed on IDEAS
    16. Ruud de Mooij, 2004. "Towards efficient unemployment insurance in the Netherlands," CPB Memorandum 100, CPB Netherlands Bureau for Economic Policy Analysis.
    17. Pieter Serneels, 2004. "The Nature of Unemployment in Urban Ethiopia," CSAE Working Paper Series 2004-01, Centre for the Study of African Economies, University of Oxford.
    18. Alexander Mosthaf & Thorsten Schank & Claus Schnabel, 2014. "Low-wage employment versus unemployment: Which one provides better prospects for women?," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-17, December.
    19. Bachmann Ronald & Burda Michael C., 2010. "Sectoral Transformation, Turbulence and Labor Market Dynamics in Germany," German Economic Review, De Gruyter, vol. 11(1), pages 37-59, February.
    20. Frédéric Gavrel, 2019. "Directed search, mismatch and efficiency," Working Papers halshs-02083453, HAL.
    21. G. Carone & A. Salomäki, 2001. "Reforms in tax-benefit systems in order to increase emplyoment incentives in the EU," European Economy - Economic Papers 2008 - 2015 160, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:urbstu:v:39:y:2002:i:8:p:1399-1416. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://www.gla.ac.uk/departments/urbanstudiesjournal .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.