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Not Working at Work: Loafing, Unemployment and Labor Productivity

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  • Michael Burda
  • Katie R. Genadek
  • Daniel S. Hamermesh

Abstract

We use the American Time Use Survey (ATUS) 2003-12 to estimate time spent by workers in non-work while on the job. Non-work time is substantial and varies positively with the local unemployment rate. While average time spent by workers in non-work conditional on any positive amount rises with the unemployment rate, the fraction of workers reporting positive values varies pro-cyclically, declining in recessions. These results are consistent with a model in which heterogeneous workers are paid efficiency wages to refrain from loafing on the job. That model correctly predicts relationships of the incidence and conditional amounts of non-work with wage rates and measures of unemployment benefits in state data linked to the ATUS, and it is consistent with estimated occupational differences.

Suggested Citation

  • Michael Burda & Katie R. Genadek & Daniel S. Hamermesh, 2016. "Not Working at Work: Loafing, Unemployment and Labor Productivity," NBER Working Papers 21923, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:21923
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Not Working at Work: Loafing, Unemployment and Labor Productivity
      by maximorossi in NEP-LTV blog on 2016-02-19 01:04:52
    2. Not Working At Work: Loafing, Unemployment and Labor Productivity By: Burda, Michael C ; Genadek, Katie R. ; Hamermesh, Daniel S.
      by maximorossi in NEP-LTV blog on 2015-07-29 23:05:51

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    Cited by:

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    2. Daniel S. Hamermesh & Katie R. Genadek & Michael C. Burda, 2021. "Racial/Ethnic Differences in Non-Work at Work," ILR Review, Cornell University, ILR School, vol. 74(2), pages 272-292, March.
    3. Reizer, Balázs, 2022. "Employment and Wage Consequences of Flexible Wage Components," Labour Economics, Elsevier, vol. 78(C).
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    5. Burda, Michael & Hamermesh, Daniel S. & Genadek, Katie R., 2017. "Non-Work at Work, Unemployment and Labor Productivity," CEPR Discussion Papers 12087, C.E.P.R. Discussion Papers.
    6. Michael C. Burda, 2018. "Aggregate labor productivity," IZA World of Labor, Institute of Labor Economics (IZA), pages 435-435, April.
    7. John G. Fernald & J. Christina Wang, 2016. "Why Has the Cyclicality of Productivity Changed? What Does It Mean?," Annual Review of Economics, Annual Reviews, vol. 8(1), pages 465-496, October.
    8. Poeschel, Friedrich, 2018. "Why do employers not pay less than advertised? Directed search and the Diamond paradox," MPRA Paper 87920, University Library of Munich, Germany.
    9. Jiajia Wei & Qiyan Wang & Wang Gao, 2022. "How Commuting Time Affects Employees’ Income in China’s Urbanization Process," Sustainability, MDPI, vol. 14(23), pages 1-18, November.
    10. Martin, Christopher & Wang, Bingsong, 2020. "Search, shirking and labor market volatility," Journal of Macroeconomics, Elsevier, vol. 66(C).
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    More about this item

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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