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Voluntary Mobility of Employees for Better Job Opportunities Given a Temporary Contract: Insights Regarding an Age-Varying Association Between the Two Events

  • Chiara Mussida EMAIL logo and Luca Zanin

Abstract

What mechanisms govern the mobility of employees who voluntarily switch employers for better opportunities, given a temporary contract (TC)? We attempt to answer this question by exploring this issue in Southern and Central European countries. We use cross-sectional data from the European Union Statistics on Income and Living Conditions survey for the 2005–2016 period. We estimate a flexible simultaneous equation model for binary responses by assuming the presence of an age-varying association between voluntary mobility and having a TC. After accounting for several socio-demographic and economic variables, we find a nonlinear decreasing relation between age and the outcomes, while we detect heterogeneous nonlinear patterns in the association between voluntary mobility and having a TC across countries. These insights can support policy-makers aiming to promote initiatives that facilitate the professional mobility of employees given a TC for an efficient allocation of human capital in the production system.

JEL Classification: C14; C3; J01; J6

Acknowledgements

We thank the two anonymous reviewers for their useful suggestions, which helped improve the clarity and quality of the article. The opinions expressed herein are those of the authors and do not reflect those of the institutions of affiliation.

Compliance with Ethical Standards

  1. Funding: This research has not received funding.

  2. Conflict of Interest: The authors declare that they have no conflict of interest.

Appendix

Table 5:

Kendall’s τˆ coefficient and the associated confidence interval. The values of the estimated τ are not statistically significant and indicate absence of sample selection bias. Please refer to Marra et al. (2017) for further methodological details.

CountryKendall’s τˆConfidence intervals
France0.0812(-0.096,0.247)
Italy0.0346(-0.167,0.257)
Spain0.0411(-0.153,0.208)
Austria0.0205(-0.163,0.268)
Germany0.0944(-0.160,0.364)
Czech Republic0.0333(-0.111,0.222)
Poland-0.1680(-0.337,0.031)
Table 6:

The Akaike information criterion obtained after estimation of the system of two binary equations without including a third equation to model the copula association parameter as a function of employee age. We have estimated 15 models for each country (3 combinations of link functions × 5 copulae) and selected (in bold) the model with the best support in terms of the Akaike information criterion.

Southern European countriesCentral European countries
Link function and copulaFranceItalySpainAustriaGermanyCzech RepublicPoland
Eq.1:Probit; Eq.2:Probit
Gaussian49,33085,33877,26325,41755,91454,95699,236
Clayton49,31185,31877,27525,41155,90154,94199,218
Gumbel49,33785,34877,27325,42055,92554,96599,254
Joe49,36685,43077,38325,44256,01155,02899,415
Frank49,35385,39477,31625,43655,97355,01099,306
Eq.1:Probit; Eq.2:Cloglog
Gaussian49,34985,34077,25625,42855,94754,95799,243
Clayton49,33185,31977,27025,42255,93454,94399,225
Gumbel49,35685,35077,26525,43155,95854,96699,262
Joe49,38685,43277,37325,45256,04555,02999,424
Frank49,37285,39677,30725,44656,00755,01199,314
Eq.1:Cloglog; Eq.2:Cloglog
Gaussian49,48785,65877,83625,37855,85054,98399,603
Clayton49,46885,63677,84725,37255,83754,96899,579
Gumbel49,49385,66977,84525,38155,86154,99299,622
Joe49,52285,75477,95425,40355,95255,05599,787
Frank49,50885,71377,88425,39655,90755,03699,672
Sample period2005–2005–2005–2005–2007–2006–2006–
2016201520162016201620162016
Table 7:

The Akaike information criterion obtained after estimation of the system of two binary equations and including a third equation to model the copula association parameter as a function of employee age (see Section 3). We have estimated 15 models for each country (3 combinations of link functions × 5 copulae) and selected (in bold) the model with the best support in terms of the Akaike information criterion.

Southern European countriesCentral European countries
Link function and copulaFranceItalySpainAustriaGermanyCzech RepublicPoland
Eq.1:Probit; Eq.2:Probit
Gaussian49,29085,34077,24525,40455,87154,93799,189
Clayton49,29785,31177,25325,40755,88254,93199,191
Gumbel49,29985,34977,24925,41055,87654,94199,193
Joe49,30985,42177,31425,41855,90954,96699,252
Frank49,29685,39077,27525,40955,89254,96199,219
Eq.1:Probit; Eq.2:Cloglog
Gaussian49,30985,66077,23825,41555,90354,93999,198
Clayton49,31685,63177,24825,41855,91454,93399,199
Gumbel49,31885,66977,24125,42055,90854,94299,203
Joe49,32885,74477,30525,42955,94254,96799,262
Frank49,31585,70977,26725,42055,92454,96299,229
Eq.1:Cloglog; Eq.2:Cloglog
Gaussian49,44585,66077,81725,36555,80954,96499,557
Clayton49,45185,63177,82825,36755,82054,95999,554
Gumbel49,45485,66977,82025,37055,81454,96899,561
Joe49,46385,74477,88225,38055,84854,99599,620
Frank49,45085,70977,84225,37055,82954,98799,586
Sample period2005–2005–2005–2005–2007–2006–2006–
2016201520162016201620162016

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The online version of this article offers supplementary material (DOI:https://doi.org/10.1515/bejeap-2018-0143).


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