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Help or Hindrance: Temporary Help Agencies and the United States Transitory Workforce

Author

Listed:
  • Fraser Summerfield

    (Department of Economics, University of Guelph)

Abstract

The impact of a Temporary Help Agency (THA) job placement on an employee’s future employment status and labor market income is examined using NLSY79 data for the late 1990s. Several matching estimators provide gender-specific estimates of the effects of temporary agency employment on future employment outcomes. Compared to directhire temps, women’s earnings increase two years after THA employment, while men’s do not. Four years after THA employment, women continue to benefit from THA jobs, while men experience lower earnings and probability of employment. We find THA work does not help men with future income or employability, however, policy encouraging women to use THA firms for labor market re-entry would be beneficial in these two areas.

Suggested Citation

  • Fraser Summerfield, 2009. "Help or Hindrance: Temporary Help Agencies and the United States Transitory Workforce," Working Papers 0911, University of Guelph, Department of Economics and Finance.
    • Handle: RePEc:gue:guelph:2009-11
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    File URL: http://www.uoguelph.ca/economics/repec/workingpapers/2009/2009-11.pdf
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    Citations

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    Cited by:

    1. Joakim Hveem, 2013. "Are temporary work agencies stepping stones into regular employment?," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 2(1), pages 1-27, December.
    2. Hveem, Joakim, 2012. "Are temporary work agencies stepping-stones into regular employment?," SULCIS Working Papers 2012:3, Stockholm University, Linnaeus Center for Integration Studies - SULCIS.

    More about this item

    Keywords

    Labor Income; Wage; Occupation; Temporary Workers; Gender; Employment Status; Temporary Help Agencies.;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

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