Direct and Indirect Complementarity between Workplace Reorganization and New Technology

Abstract

We link survey and balance sheet data to investigate the extent of complementarity between the introduction of new technology and changes in workplace practices. Across all firms, we find that new technology is complementary with higher work intensity. Similarly, changes in work techniques yield diffuse complementarity gains, particularly in firms undergoing extensive restructuring. Changes in work organization yield, on average, complementarity gains in terms of productivity growth. Substitutability between new technology and specific workplace changes is sometimes found, consistently with the presence of costs associated to learning functions or resistance to changes.workplace practices, ICT investments, complementarity.