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Full-Text Articles in Labor Economics
Temporary Help Employment In Recession And Recovery, Susan N. Houseman, Carolyn J. Heinrich
Temporary Help Employment In Recession And Recovery, Susan N. Houseman, Carolyn J. Heinrich
Upjohn Institute Working Papers
The temporary help industry, although small, plays a significant role in the macro economy, reflecting employers’ growing reliance on temporary help agencies to provide flexibility in meeting staffing needs. Drawing on detailed temporary-help order data between 2007 and 2011 from a large, nationally representative staffing company, we provide insights into the characteristics of temporary help work, employers’ use of temporary agencies to screen workers for permanent positions, and the industry’s role in labor market adjustment over the business cycle. We estimate that the temporary help industry accounted for a large share of gross job losses and job gains over this …
Manufacturers' Outsourcing To Employment Services, Matthew Dey, Susan N. Houseman, Anne E. Polivka
Manufacturers' Outsourcing To Employment Services, Matthew Dey, Susan N. Houseman, Anne E. Polivka
Upjohn Institute Working Papers
We estimate the effects of manufacturers' use of employment services—comprised primarily of temporary help and professional employer organizations—on measured employment and labor productivity in manufacturing between 1989 and 2004. A major contribution of the paper is the construction of panel data on employment by occupation and industry from the Occupational Employment Statistics program. We use these data to document the dramatic rise of production and other manual occupations within the employment services sector and, in conjunction with information from the Contingent Worker Supplements, to estimate the number of employment services workers assigned to manufacturing over the period. Although measured employment …
Temporary Agency Employment As A Way Out Of Poverty?, David H. Autor, Susan N. Houseman
Temporary Agency Employment As A Way Out Of Poverty?, David H. Autor, Susan N. Houseman
Upjohn Institute Working Papers
The high incidence of temporary agency employment among participants in government employment programs has catalyzed debate about whether these jobs help the poor transition into stable employment and out of poverty. We provide direct evidence on this question through analysis of a Michigan welfare-to-work program in which program participants were randomly allocated across service providers ('contractors') with different job placement practices. We draw on a telephone survey of contractors and on administrative program data linked with wage records data on all participants entering the program over a three-and-a half-year period. Our survey evidence documents a consensus among contractors that temporary …
Do Temporary Help Jobs Improve Labor Market Outcomes For Low-Skilled Workers? Evidence From Random Assignments, David H. Autor, Susan N. Houseman
Do Temporary Help Jobs Improve Labor Market Outcomes For Low-Skilled Workers? Evidence From Random Assignments, David H. Autor, Susan N. Houseman
Upjohn Institute Working Papers
A disproportionate share of low-skilled U.S. workers is employed by temporary help firms. These firms offer rapid entry into paid employment, but temporary help jobs are typically brief and it is unknown whether they foster longer-term employment. We draw upon an unusual, large-scale policy experiment in the state of Michigan to evaluate whether holding temporary help jobs facilitates labor market advancement for low-skilled workers. To identify these effects, we exploit the random assignment of welfare-to-work clients across numerous welfare service providers in a major metropolitan area. These providers feature substantially different placement rates at temporary help jobs but offer otherwise …
The Role Of Temporary Agency Employment In Tight Labor Markets, Susan N. Houseman, Arne L. Kalleberg, George A. Erickcek
The Role Of Temporary Agency Employment In Tight Labor Markets, Susan N. Houseman, Arne L. Kalleberg, George A. Erickcek
Upjohn Institute Working Papers
This paper examines the reasons why employers used and even increased their use of temporary help agencies during the tight labor markets of the 1990s. Based on case study evidence from the hospital and auto supply industries, we evaluate various hypotheses for this phenomenon. In high-skilled occupations, our results are consistent with the view that employers paid substantially more to agency help to avoid raising wages for their regular workers and to fill vacancies while they recruited workers for permanent positions. In low-skilled occupations, our evidence suggests that temporary help agencies facilitated the use of more "risky" workers by lowering …
The Effects Of Temporary Services And Contracting Out On Low-Skilled Workers: Evidence From Auto Suppliers, Hospitals, And Public Schools, George A. Erickcek, Susan N. Houseman, Arne L. Kalleberg
The Effects Of Temporary Services And Contracting Out On Low-Skilled Workers: Evidence From Auto Suppliers, Hospitals, And Public Schools, George A. Erickcek, Susan N. Houseman, Arne L. Kalleberg
Upjohn Institute Working Papers
We examine why employers use temporary agency and contract company workers and the implications of these practices for the wages, benefits, and working conditions of workers in low-skilled labor markets. Through intensive case studies in manufacturing (automotive supply), services (hospitals), and public sector (primary and secondary schools) industries, we define the circumstances under which these workers are likely to be adversely affected, minimally affected, or even benefited by such outsourcing. Adverse effects on compensation are clearest when companies substitute agency temporaries or contract company workers for regular employees on a long-term basis because low-skilled workers within the organization receive relatively …
The Benefits Implications Of Recent Trends In Flexible Staff Arrangements, Susan N. Houseman
The Benefits Implications Of Recent Trends In Flexible Staff Arrangements, Susan N. Houseman
Upjohn Institute Working Papers
Workers in flexible staffing arrangements - including temporary agency, direct-hire temporary, on-call, and contract workers - are much less likely than regular, direct-hire employees to be covered by laws mandating or regulating workplace benefits. Workers in such arrangements, in turn, are much less likely to receive pension, health insurance, and other benefits on the job. This paper documents these differences in coverage by benefits regulations and differences in benefits receipt. The paper also reviews evidence on the incentives employers have to use workers in these various flexible staffing arrangements. Although reducing benefits costs is not the only reason employers use …
Why Employers Use Flexible Staffing Arrangements: Evidence From An Establishment Survey, Susan N. Houseman
Why Employers Use Flexible Staffing Arrangements: Evidence From An Establishment Survey, Susan N. Houseman
Upjohn Institute Working Papers
This paper examines which employers use flexible staffing arrangements, why they use these arrangements, and their implications for workers and public policy, drawing on a nationally representative survey of private sector establishments. Use of flexible staffing arrangements-including temporary help agency, short-term, on-call, regular part-time, and contract workers-is widespread and two-thirds of employers believe this use will increase in the near future. Traditional reasons concerning the need to accommodate fluctuations in workload or absences in staff are the most commonly cited reasons for using all types of flexible staffing arrangements. Many employers also use agency temporaries and part-time workers to screen …
The Implications Of Flexible Staffing Arrangements For Job Stability, Susan N. Houseman, Anne E. Polivka
The Implications Of Flexible Staffing Arrangements For Job Stability, Susan N. Houseman, Anne E. Polivka
Upjohn Institute Working Papers
In this paper, we examine the job stability of workers in a wide range of flexible staffing arrangements: agency temporary, direct-hire temporary, on-call, contract company, independent contractor, and regular part-time work. We draw upon two data sources in our analysis. The first is a nationwide survey of employers on their use of flexible staffing arrangements conducted by the Upjohn Institute for Employment Research. This survey provides evidence on why employers use various types of flexible staffing arrangements and the extent to which employers move workers in these positions into regular arrangements within their organization. The second data source is the …