Job Turnover and Labour Market Adjustment in Ontario from 1978 to 1993
This paper documents job turnover and labour market adjustment activities in the Ontario economy from 1978 to 1993. The following highlights the major findings. Both the permanent layoff rate and the total permanent separation rate vary substantially from one industry to another. In 1992, the permanent layoff and total permanent separation rates ranged from 27.3% and 34.2% in construction to only 1.4% and 9.3% in public services, respectively. The permanent layoff rate and the total permanent separation rate also differ noticeably by gender, age and firm size - in most industries, the rates are higher among male workers than among females, higher among younger workers, and higher among smaller employers.While the permanent layoff rate increases during business cycle downturns and decreases during business cycle upswings, the reverse trend is observed with the total permanent separation rate. This is because the quit rate and the other permanent separation rate both decline during downturns and rise during upswings, more than offsetting the opposite trend associated with the permanent layoff rate.These univariate-tabulation findings are confirmed in the multi-variate logistic regression results on the statistical determinants of permanent layoffs and total permanent separations. In most industries, after controlling for gender, age, firm size and time periods, the estimated likelihood of permanent layoffs is lower among female workers, decreases significantly with age and firm size, increases during recessions and decreases during recovery and expansion in most industries. The patterns of estimated incidence of total permanent separations are very similar to those of permanent layoffs except that total permanent separations decline during business cycle downturns and climb during business cycle upswings.Permanently separated workers have had a much more difficult time in finding employment during the most recent recession than any other time in the past 15 y
Labour, Employment and unemployment, Work transitions and life stages, Labour mobility, turnover and work absences
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