Occupational routine intensity and the costs of job loss: evidence from mass layoffs

B-Tier
Journal: Labour Economics
Year: 2021
Volume: 68
Issue: C

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper examines if workers face larger costs from losing their job in a mass layoff whether they were employed in routine-intensive occupations as technological change erodes their employment perspectives outside of their original job. We use worker-level data on mass layoffs in Germany between 1980 and 2010 and provide evidence that workers who were employed in more routine-intensive occupations indeed suffer larger and more persistent earnings losses. We find that earnings losses are primarily due to a reduction in the number of days in employment, suggesting that routine-intensive workers face considerable difficulties in coping with job loss. The additional displacement costs associated with routine intensity have increased over time.

Technical Details

RePEc Handle
repec:eee:labeco:v:68:y:2021:i:c:s0927537120301573
Journal Field
Labor
Author Count
3
Added to Database
2026-01-24