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|a This paper assesses the relative importance of perceived obstacles to hiring workers on a permanent basis faced by EU firms and studies how they depend on firm's characteristics. Findings suggest that the main obstacles to hiring in Europe are high uncertainty, shortage of skilled labour, high payroll taxes, high wages and the risks associated with changes to labour laws. While negative (firm-level) demand and finance shocks negatively affect firms' perceptions of obstacles to hiring, labour market structures and firms'/employees' characteristics are also found significant. In particular, our analysis shows that firms employing a higher percentage of skilled, permanent and experienced workers report fewer hiring obstacles. In contrast, firms under collective wage bargaining arrangements seem to report these obstacles more often. However, there are also some specific obstacles to hiring where this is not the case, which suggests that firm-level characteristics should also be taken into account when designing labour market policies. Finally, our analysis provides further tentative evidence on the impacts of labour market reforms, which seem to have a potential to address impediments towards employment creation in the EU.
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This paper assesses the relative importance of perceived obstacles to hiring workers on a permanent basis faced by EU firms and studies how they depend on firm's characteristics. Findings suggest that the main obstacles to hiring in Europe are high uncertainty, shortage of skilled labour, high payroll taxes, high wages and the risks associated with changes to labour laws. While negative (firm-level) demand and finance shocks negatively affect firms' perceptions of obstacles to hiring, labour market structures and firms'/employees' characteristics are also found significant. In particular, our analysis shows that firms employing a higher percentage of skilled, permanent and experienced workers report fewer hiring obstacles. In contrast, firms under collective wage bargaining arrangements seem to report these obstacles more often. However, there are also some specific obstacles to hiring where this is not the case, which suggests that firm-level characteristics should also be taken into account when designing labour market policies. Finally, our analysis provides further tentative evidence on the impacts of labour market reforms, which seem to have a potential to address impediments towards employment creation in the EU. |
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Frankfurt am Main, Germany, European Central Bank, [2018] |
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Frankfurt am Main, Germany: European Central Bank, [2018] |
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What are the main obstacles to hiringafter recessions in Europe? |
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Savšek, Simon VerfasserIn aut, What are the main obstacles to hiringafter recessions in Europe? Simon Savšek, Frankfurt am Main, Germany European Central Bank [2018], 1 Online-Ressource (circa 26 Seiten) Illustrationen, Text txt rdacontent, Computermedien c rdamedia, Online-Ressource cr rdacarrier, Working paper series / European Central Bank no 2153 (May 2018), This paper assesses the relative importance of perceived obstacles to hiring workers on a permanent basis faced by EU firms and studies how they depend on firm's characteristics. Findings suggest that the main obstacles to hiring in Europe are high uncertainty, shortage of skilled labour, high payroll taxes, high wages and the risks associated with changes to labour laws. While negative (firm-level) demand and finance shocks negatively affect firms' perceptions of obstacles to hiring, labour market structures and firms'/employees' characteristics are also found significant. In particular, our analysis shows that firms employing a higher percentage of skilled, permanent and experienced workers report fewer hiring obstacles. In contrast, firms under collective wage bargaining arrangements seem to report these obstacles more often. However, there are also some specific obstacles to hiring where this is not the case, which suggests that firm-level characteristics should also be taken into account when designing labour market policies. Finally, our analysis provides further tentative evidence on the impacts of labour market reforms, which seem to have a potential to address impediments towards employment creation in the EU., Europäische Zentralbank Working paper series no 2153 (May 2018) 215300 (DE-627)372370322 (DE-576)108090442 (DE-600)2123559-4 1725-2806, http://hdl.handle.net/10419/183335 Resolving-System kostenfrei Volltext, https://doi.org/10.2866/06971 Resolving-System kostenfrei Volltext, http://www.ecb.europa.eu/pub/pdf/scpwps/ecb.wp2153.en.pdf Verlag kostenfrei Volltext, https://doi.org/10.2866/06971 LFER, LFER 2019-05-07T00:00:00Z |
| spellingShingle |
Savšek, Simon, What are the main obstacles to hiringafter recessions in Europe?, Europäische Zentralbank, Working paper series, no 2153 (May 2018), This paper assesses the relative importance of perceived obstacles to hiring workers on a permanent basis faced by EU firms and studies how they depend on firm's characteristics. Findings suggest that the main obstacles to hiring in Europe are high uncertainty, shortage of skilled labour, high payroll taxes, high wages and the risks associated with changes to labour laws. While negative (firm-level) demand and finance shocks negatively affect firms' perceptions of obstacles to hiring, labour market structures and firms'/employees' characteristics are also found significant. In particular, our analysis shows that firms employing a higher percentage of skilled, permanent and experienced workers report fewer hiring obstacles. In contrast, firms under collective wage bargaining arrangements seem to report these obstacles more often. However, there are also some specific obstacles to hiring where this is not the case, which suggests that firm-level characteristics should also be taken into account when designing labour market policies. Finally, our analysis provides further tentative evidence on the impacts of labour market reforms, which seem to have a potential to address impediments towards employment creation in the EU. |
| title |
What are the main obstacles to hiringafter recessions in Europe? |
| title_auth |
What are the main obstacles to hiringafter recessions in Europe? |
| title_full |
What are the main obstacles to hiringafter recessions in Europe? Simon Savšek |
| title_fullStr |
What are the main obstacles to hiringafter recessions in Europe? Simon Savšek |
| title_full_unstemmed |
What are the main obstacles to hiringafter recessions in Europe? Simon Savšek |
| title_in_hierarchy |
no 2153 (May 2018). What are the main obstacles to hiringafter recessions in Europe? ([2018]) |
| title_short |
What are the main obstacles to hiringafter recessions in Europe? |
| title_sort |
what are the main obstacles to hiringafter recessions in europe |
| title_unstemmed |
What are the main obstacles to hiringafter recessions in Europe? |
| url |
http://hdl.handle.net/10419/183335, https://doi.org/10.2866/06971, http://www.ecb.europa.eu/pub/pdf/scpwps/ecb.wp2153.en.pdf |
