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Employees’ Performance Variation over Fixed-Term Contracts - Evidence from the National Hockey League

Author

Listed:
  • Furmaco, L.

    (Department of Economics and the Murphy Institute, Tulane University, IZA, GLO)

  • Longley, N.

    (Department of Business, Nevada State College)

  • Palermo, A.

    (Institute for Labour Law and Industrial Relations in the European Union)

  • Rossi, G.

    (University of Birkbeck, London)

Abstract

We investigate whether employees vary their performance during fixed-term contracts. We follow National Hockey League players’ performance over ten seasons. We use a two-stage least square fixed effect model to address empirical limitations in previous studies. We find that players’ performance varies at the end of the contract depending on ability, tenure, and (geographical) willingness to move. In particular, long-tenure and low-ability short-tenure workers vary their performance, depending on their continent of origin; these results might be due to different willingness to move, at different stages of players’ career.

Suggested Citation

  • Furmaco, L. & Longley, N. & Palermo, A. & Rossi, G., 2021. "Employees’ Performance Variation over Fixed-Term Contracts - Evidence from the National Hockey League," Working Papers 2107, Tulane University, Department of Economics.
    • Handle: RePEc:tul:wpaper:2107
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    References listed on IDEAS

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    More about this item

    Keywords

    fixed-term contracts; incentives; shirking behavior; strategic behavior;
    All these keywords.

    JEL classification:

    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects
    • Z22 - Other Special Topics - - Sports Economics - - - Labor Issues

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