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Title: Firm-Level Labor Demand for and Macroeconomic Increases in Non-Regular Workers in Japan
Authors: Teruyama, Hiroshi
Goto, Yasuo
Lechevalier, Sebastien
Keywords: non-regular employment
part-time workers
dispatched workers
firm-level labor demand
female labor supply
Issue Date: Aug-2018
Publisher: Institute of Economic Research, Kyoto University
Journal title: KIER Discussion Paper
Volume: 994
Start page: 1
End page: 38
Abstract: The purpose of this study is to account for the increase in non-regular workers, namely, part-time and dispatched workers, in the Japanese economy from the early 2000s. We use a firm-level panel dataset extracted from an administrative survey and distinguish between the short-run and long-run determinants of non-regular labor demand. Using the estimated parameters of the labor demand function, we decompose the rate of increase in the macroeconomic non-regular worker ratio into determinant factor contributions. Our major results can be summarized as follows. First, the firm-level determinants of the demand for part-time and dispatched workers significantly differ. Second, our results suggest that the creation of part-time jobs stimulated by the increased female labor supply plays an essential role in non-regular worker growth relative to direct demand-side factors. On the contrary, increases in both the elderly and the female labor supply have reduced demand for dispatched workers. Third, the microeconomic demand conditions for non-regular labor are widely dispersed among firms. Neither the micro demand factors examined in this study nor industrial differences can explain this heterogeneity.
Appears in Collections:KIER Discussion Paper (English)

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