Alternative and Part-Time Employment Arrangements as a Response to Job Loss

Working Paper: NBER ID: w7002

Authors: Henry S. Farber

Abstract: I examine the extent to which workers who lose jobs find work in alternative employment arrangements including temporary work and independent contracting and find part-time work, both voluntary and involuntary. The analysis is based on data from the Displaced Worker Supplements (DWS) and the February 1994 and 1996 Current Population Surveys (CPS) which I match to the Contingent and Alternative Employment Arrangements Supplements (CAEAS) to the February CPSs in the subsequent years (1995 and 1997 respectively). I find that job losers are significantly more likely than non-losers to be in temporary jobs (including on-call work and contract work). I also find evidence that the likelihood of temporary employment falls with time since job loss. With regard to part-time employment, I find that involuntary part-time employment is an important part of the employment experience subsequent to job loss and that the likelihood of involuntary part-time employment falls with time since job loss, particularly for full-time job losers. Thus that temporary and involuntary part-time jobs are part of a transitional process subsequent to job loss leading to regular full-time employment.

Keywords: job loss; temporary employment; alternative employment arrangements; part-time work

JEL Codes: J30


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
job loss (J63)temporary jobs (J63)
job loss (J63)involuntary part-time employment (J22)
duration since job loss (J63)temporary jobs (J63)
duration since job loss (J63)involuntary part-time employment (J22)

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