Worker absence and shirking : evidence from matched teacher-school data.

We utilise a unique matched teacher-school data set of absenteeism records to quantify the impact of group interaction on the absence behavior of primary and secondary teachers. To address problems of identification our study focuses on teachers who move between schools. The estimates for movers suggest that absenteeism is influenced by prevailing group absence behaviour at the school. Our finding suggests that a worker takes one more day of absenteeism if their average coworker takes 12 more days or 8 more days absenteeism per quarter for primary school and secondary school teachers, respectively. We interpret this as evidence that worker shirking is influenced by workplace absence norms

Unions, Dissatisfied Workers and Sorting

A persistent and sizeable literature argues that the reported job dissatisfaction of union members is spurious. It reflects either the sorting of workers across union status or the sorting of union recognition across jobs. We cast doubt on this argument presenting the first estimates that use panel data to hold constant both worker and job match fixed effects. The estimates demonstrate that covered union members report greater dissatisfaction even when accounting for sorting in both dimensions. Moreover, covered union members are less likely to quit holding job satisfaction constant and their quit behaviour is far less responsive to job satisfaction. The paradox of the discontented union member remains intact.

Profit Sharing and the Quality of Relations with the Boss

Profit sharing generates conflicting changes in the relationship between supervisors and workers. It may increase cooperation and helping effort. At the same time it can increase direct monitoring and pressure by the supervisor, and mutual monitoring and peer pressure from other workers that is transmitted through the supervisor. Using data on satisfaction with the boss, we initially show that workers under profit sharing tend to have lower satisfaction with their supervisor. Additional estimates show this is largely generated by groups of workers who would be least likely to respond to increased supervisory pressure with increase effort: women, those with dependents and those with health limitations. Despite this finding, profit sharing seems to have little or no influence on overall job satisfaction as the reduction in satisfaction with the boss is offset with increased satisfaction with earnings, a finding consistent with profit sharing enhancing productivity and earnings.

Does profit sharing increase training by reducing turnover?

We test the theoretical prediction that profit sharing reduces worker separations and by doing so increases the incidence of training. Using individual level UK data, we confirm that profit sharing is a robust determinant of lower separation rates and of greater training incidence. Critically, we cannot confirm the predicted link between separations and training. Instead, the evidence supports alternative theories suggesting a direct link between profit sharing and training. Our results suggest that profit sharing changes employer-worker relations in a way that leads to greater formal and informal investment in worker skills but that this is independent of its influence on reducing separations.

Are flexible contracts bad for workers? Evidence from job satisfaction data

If workers can choose between permanent and flexible contracts, compensating wage differentials should arise to equalize on-the-job utility in the two types of contracts. Estimating job satisfaction using the British Household Panel Survey shows that agency and casual contracts are associated with routinely lower satisfaction. This results because the low job satisfaction associated with less job security is not offset by higher compensation or other job characteristics. Job security is sufficiently important that holding constant this one facet of satisfaction eliminates the overall gap in job satisfaction between flexible and permanent contracts.

Performance pay, sorting and the dimensions of job satisfaction

This paper investigates the influence of performance related pay on several dimensions of job satisfaction. In cross-sectional estimates, performance related pay is associated with increased overall satisfaction, satisfaction with pay, satisfaction with job security and satisfaction with hours. It appears to be negatively associated with satisfaction with the work itself. Yet, after accounting for worker fixed-effects, the positive associations remain and the negative association vanishes. These results appear robust to a variety of alternative specifications and support the notion that performance pay allows increased opportunities for worker optimization and do not generally demotivate workers or crowd out intrinsic motivation.

Flexible contract workers in inferior jobs: reappraising the evidence

There has been concern that the increase in non-standard or flexible employment contracts witnessed in many OECD economies is evidence of a growth in low-pay, low-quality jobs. In practice, however, it is difficult to evaluate the `quality' of flexible jobs. Previous research has either investigated objective measures of job quality such as wages and training or subjective measures such as job satisfaction. In this paper, we seek to jointly evaluate objective and subjective elements of flexible employment contracts. Specifically we develop and use an index of job quality that incorporates both subjective and objective elements. Analysis of this index demonstrates that flexible jobs are of a lower quality. However, this approach suggests that analysis of, for instance, job satisfaction alone overstates the negative impact of flexible contracts on workers.

In addition to saved travel time, the London congestion charge has saved lives

What was the effect of the London congestion charge on traffic accidents injuries and fatalities? Research by Colin Green finds that the introduction of the London congestion charge reduced the count of traffic accidents in Central London by 30 a month – an enormous 40 per cent reduction. Accidents that result in individuals being killed or seriously injured (KSIs) also fell, by just under 4 a month, or 45 a year

Worker absence and shirking: evidence from matched teacher-school data

We utilise a unique matched teacher-school data set of absenteeism records to quantify shirking behaviour in primary and secondary schools. Shirking behaviour is shown to vary systematically across schools, and hence schools are characterised as either healthy (low absenteeism) or sick (high absenteeism). Using count data techniques, and allowing for the problems of unobserved heterogeneity and partial observability in our data, we find that teachers in sick schools have higher absence rates. Our estimates suggest that shirking behaviour can account for 24 percent to 38 percent of recorded absenteeism. Furthermore, a teacher who moves from a healthy school to a sick school is likely to face an increased risk of absenteeism of up to 70 percent. As the factors a¤ecting involuntary absenteeism are unlikely to change in the short run, we argue that this increased incidence in absenteeism re?ects the impact of the change in school environment on shirking behaviour.