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Offshore Outsourcing and the size of the French Industrial Labor Force

Author

Listed:
  • P. AUBERT

    (Insee)

  • P. SILLARD

    (Insee)

Abstract

We estimate the amount of job losses in the manufacturing sector in France due to offshore outsourcing. Our estimation is based on exhaustive, micro-level data covering all firms in the manufacturing sector in France from 1995 to 2001. We identify the groups or firms where employment decreases in French units and, at the same time, for which the imports of the good previously produced in France increases. Between 1995 and 2001, 13 500 jobs are lost each year on average in France due to offshore outsourcing in the manufacturing sector. In slightly less than half of the cases, offshore outsourcing is directed towards a low wage country : mainly China, but also North Africa, Eastern Europe, Asia, Brazil. Job losses are more frequent in some sectors, such as clothing, textile, domestic equipment, manufacture of electronic equipments and components. Nonetheless, offshore outsourcing is observed in nearly all sectors.

Suggested Citation

  • P. Aubert & P. Sillard, 2005. "Offshore Outsourcing and the size of the French Industrial Labor Force," Documents de Travail de l'Insee - INSEE Working Papers g2005-03, Institut National de la Statistique et des Etudes Economiques.
    • Handle: RePEc:nse:doctra:g2005-03
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    File URL: https://www.bnsp.insee.fr/ark:/12148/bc6p06zr24j/f1.pdf
    File Function: Document de travail de la DESE numéro G2005-03
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    More about this item

    Keywords

    offshore outsourcing; international competition; job loss; industrial organization;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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