Working Papers, Department of Economics, Aarhus School of Business, University of Aarhus
No 10-6:
Looking Beyond the Bridge: How Temporary Agency Employment Affects Labor Market Outcomes
Elke J. Jahn ()
and Michael Rosholm ()
Abstract: We perform a comprehensive analysis of the stepping-stone
effect of temporary agency employment on unemployed workers. Using the
timing-of-events approach, we not only investigate whether agency
employment is a bridge into regular employment but also analyze its effect
on post-unemployment wages and job stability for unemployed Danish workers.
We find evidence of large positive treatment effects, particularly for
immigrants. There is also some indication that higher treatment intensity
increases the likelihood of leaving unemployment for regular jobs. Our
results show that agency employment is even more effective in tight labor
markets, where firms use agency employment primarily to screen potential
candidates for permanent posts. Finally, our results suggest that agency
employment may improve subsequent match quality in terms of wages and job
duration.
Keywords: temporary agency employment; stepping stone; employment stability; wages; (follow links to similar papers)
JEL-Codes: C41; J30; J40; J64; (follow links to similar papers)
41 pages, May 1, 2010
Before downloading any of the electronic versions below
you should read our statement on
copyright.
Download GhostScript
for viewing Postscript files and the
Acrobat Reader for viewing and printing pdf files.
Full text versions of the paper:
10-06_eljarom.pdf 
Download Statistics
Questions (including download problems) about the papers in this series should be directed to Helle Vinbaek Stenholt ()
Report other problems with accessing this service to Sune Karlsson ()
or Helena Lundin ().
Programing by
Design by Joachim Ekebom
