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Working Time Accounts and Turnover

Launov, Andrey (2020) Working Time Accounts and Turnover. Scandinavian Journal of Economics, . ISSN 1467-9442. (doi:10.1111/sjoe.12430) (KAR id:80874)


Working time account is a tool that allows firms to smooth their demand for hours employed.Descriptive literature suggests that working time accounts can reduce layoffs and inhibit increases in unemployment during recessions. In a model of optimal labour demand I show that working time account does not necessarily guarantee fewer layoffs at the firm level. Layoffs may fall or rise depending on whether the firm meets an economic downturn with a surplus or a deficit of hours, and on how productive the firm is. On aggregate and in expected terms, however, working time account reduces job destruction.

Item Type: Article
DOI/Identification number: 10.1111/sjoe.12430
Uncontrolled keywords: Labour demand, working hours, layoff, Great Recession, Germany
Subjects: H Social Sciences
Divisions: Divisions > Division of Human and Social Sciences > School of Economics
Depositing User: Andrey Launov
Date Deposited: 15 Apr 2020 14:41 UTC
Last Modified: 22 Sep 2022 23:00 UTC
Resource URI: (The current URI for this page, for reference purposes)

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