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- W2274486872 abstract "In most European countries, for a long time in the public sector and at least in large private enterprises (LPEs) the rules governing employment relationships have been based on permanent contracts. In recent years in Europe, however, there has been a shift towards the flexibilization of working conditions with a rise in fixedterm contracts and other atypical forms of job contracts. There are various reasons for this shift: in the private sector, for example, the technological changes that require constantly new skills (or that cause the obsolescence of older workers’ skills) and the need to respond better to the economic cycle; in the public sector also budget constraints and the limits imposed on hiring decisions. Moreover, many countries, such as Spain, France, Italy, Portugal and Germany, have used fixed-term contracts as a way to reduce firing costs and thus reduce unemployment rates (during the 1990s) without losing the support of insider workers (Saint-Paul, 2004). According to the compensation theory (Mincer, 1958) or the equalizing theory (Rosen, 1986), in a pure competitive market one should observe that permanent workers receive wages lower than those of their colleagues with fixed-term contracts who have equal characteristics so as to compensate for the lower probability of losing their jobs. Instead, many studies have shown the existence in all countries of a substantial permanent contract wage gap 1 , i.e. higher earnings for permanent workers than for workers with fixed-term contracts (see, for example, Comi and Grasseni, 2012; da Silva and Turrini, 2015). This is true also in European countries where the Council Directive 1999/70/EC requires that “in respect of employment conditions, fixed-term workers shall not be treated in a less favourable manner than comparable permanent workers solely" @default.
- W2274486872 created "2016-06-24" @default.
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- W2274486872 date "2015-01-01" @default.
- W2274486872 modified "2023-09-23" @default.
- W2274486872 title "The Wage Effects Of Fixed-Term Contracts" @default.
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