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Are worker flows in France and the US so different? Revisiting French empirical evidence

Author

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  • Richard Duhautois

    (ERUDITE - Equipe de Recherche sur l’Utilisation des Données Individuelles en lien avec la Théorie Economique - UPEM - Université Paris-Est Marne-la-Vallée - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12, CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique)

  • Héloïse Petit

    (CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper revisits empirical evidence on worker flows in France. We use much more recent and complete data than previous studies, and we innovate by estimating hires and separations separately for open-ended contract workers. Focusing on open-ended contracts for France yields a picture strikingly close to the US labor market. Our results downplay the hypothesis, previously stated in the literature, that downsizing French firms would adjust through reduction in hiring because of the rigidity of employment protection legislation. Such results call for more work to be done on the impact of employment protection legislation on labor flows.

Suggested Citation

  • Richard Duhautois & Héloïse Petit, 2015. "Are worker flows in France and the US so different? Revisiting French empirical evidence," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01301372, HAL.
    • Handle: RePEc:hal:cesptp:hal-01301372
    DOI: 10.1016/j.econlet.2015.02.032
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    References listed on IDEAS

    as
    1. John M. Abowd & Patrick Corbel & Francis Kramarz, 1999. "The Entry And Exit Of Workers And The Growth Of Employment: An Analysis Of French Establishments," The Review of Economics and Statistics, MIT Press, vol. 81(2), pages 170-187, May.
    2. Steven J. Davis & John Haltiwanger, 1992. "Gross Job Creation, Gross Job Destruction, and Employment Reallocation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(3), pages 819-863.
    3. Davis, Steven J. & Faberman, R. Jason & Haltiwanger, John, 2012. "Labor market flows in the cross section and over time," Journal of Monetary Economics, Elsevier, vol. 59(1), pages 1-18.
    4. Steven J. Davis & R. Jason Faberman & John Haltiwanger, 2006. "The Flow Approach to Labor Markets: New Data Sources and Micro-Macro Links," Journal of Economic Perspectives, American Economic Association, vol. 20(3), pages 3-26, Summer.
    5. Burgess, Simon & Lane, Julia & Stevens, David, 2001. "Churning dynamics: an analysis of hires and separations at the employer level," Labour Economics, Elsevier, vol. 8(1), pages 1-14, January.
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    Cited by:

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    3. Amossé, Thomas & Bryson, Alex & Forth, John & Petit, Héloïse, 2023. "The Micro-Foundations of Employment Systems: An Empirical Case Study of Britain and France," IZA Discussion Papers 16424, Institute of Labor Economics (IZA).
    4. Henri Fraisse & Mathias Lé & David Thesmar, 2020. "The Real Effects of Bank Capital Requirements," Management Science, INFORMS, vol. 66(1), pages 5-23, January.

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    More about this item

    Keywords

    Entry; Job flow; Worker flow; Exit; Establishment growth; France;
    All these keywords.

    JEL classification:

    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor

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