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The Dutch labour market early on in the COVID-19 outbreak: Regional coronavirus hotspots and the national lockdown

Author

Listed:
  • Wolter H. J. Hassink

    (Utrecht University School of Economics, Utrecht University; IZA – Institute of Labor Economics)

  • Guyonne Kalb

    (Melbourne Institute: Applied Economic & Social Research, The University of Melbourne; IZA – Institute of Labor Economics, LCC – The ARC Centre of Excellence for Children and Families over the Life Course)

  • Jordy Meekes

    (Melbourne Institute: Applied Economic & Social Research, The University of Melbourne; IZA – Institute of Labor Economics, LCC – The ARC Centre of Excellence for Children and Families over the Life Course)

Abstract

We explore the impact of COVID-19 hotspots and regional lockdowns on the Dutch labour market. Using weekly administrative panel microdata for 50 per cent of Dutch employees until the end of March 2020, we study whether individual labour market outcomes, as measured by employment, working hours and hourly wages, were more strongly affected in provinces where COVID-19 confirmed cases, hospitalizations and mortality were relatively high. We do not observe a region-specific impact of COVID-19 on labour market outcomes. The results suggest individual characteristics are more important, including the employee’s age, type of contract and type of job. The evidence suggests that the decline of the labour market was all due to the impacts from the government-enforced lockdown and higher virus case numbers did not reinforce this decline. This suggests that preventive health measures should be at the regional level, isolating hotspots from low-risk areas.

Suggested Citation

  • Wolter H. J. Hassink & Guyonne Kalb & Jordy Meekes, 2020. "The Dutch labour market early on in the COVID-19 outbreak: Regional coronavirus hotspots and the national lockdown," Melbourne Institute Working Paper Series wp2020n17, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2020n17
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    References listed on IDEAS

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    1. Layard, Richard & Clark, Andrew E. & De Neve, Jan-Emmanuel & Krekel, Christian & Fancourt, Daisy & Hey, Nancy & O'Donnell, Gus, 2020. "When to release the lockdown: a wellbeing framework for analysing costs and benefits," LSE Research Online Documents on Economics 104276, London School of Economics and Political Science, LSE Library.
    2. Layard, Richard & Clark, Andrew E. & De Neve, Jan-Emmanuel & Krekel, Christian & Fancourt, Daisy & Hey, Nancy & O'Donnell, Gus, 2020. "When to release the lockdown: a wellbeing framework for analysing costs and benefits," LSE Research Online Documents on Economics 104276, London School of Economics and Political Science, LSE Library.
    3. Abel Brodeur & David Gray & Anik Islam & Suraiya Bhuiyan, 2021. "A literature review of the economics of COVID‐19," Journal of Economic Surveys, Wiley Blackwell, vol. 35(4), pages 1007-1044, September.
    4. Hans-Martin von Gaudecker & Radost Holler & Lena Janys & Bettina Siflinger & Christian Zimpelmann, 2020. "Labour supply in the early stages of the CoViD-19 Pandemic: Empirical Evidence on hours, home office, and expectations," ECONtribute Policy Brief Series 005, University of Bonn and University of Cologne, Germany.
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    Cited by:

    1. Jordy Meekes & Wolter H J Hassink & Guyonne Kalb, 2023. "Essential work and emergency childcare: identifying gender differences in COVID-19 effects on labour demand and supply," Oxford Economic Papers, Oxford University Press, vol. 75(2), pages 393-417.
    2. Hoehn-Velasco, Lauren & Silverio-Murillo, Adan & Balmori de la Miyar, Jose Roberto, 2021. "The long downturn: The impact of the great lockdown on formal employment," Journal of Economics and Business, Elsevier, vol. 115(C).
    3. Helen Devereux & Emma Wadsworth, 2022. "Forgotten keyworkers: the experiences of British seafarers during the COVID-19 pandemic," The Economic and Labour Relations Review, , vol. 33(2), pages 272-289, June.
    4. Palacios-Lopez,Amparo & Newhouse,David Locke & Pape,Utz Johann & Khamis,Melanie & Weber,Michael & Prinz,Daniel, 2021. "The Early Labor Market Impacts of COVID-19 in Developing Countries : Evidence from High-Frequency Phone Surveys," Policy Research Working Paper Series 9510, The World Bank.

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    More about this item

    Keywords

    COVID-19; Coronavirus hotspots; Lockdown; Employment; Working hours; Wages;
    All these keywords.

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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