The cost of job loss in carbon-intensive sectors: Evidence from Germany:
The green transformation of the economy is expected to lead to a sharp reduction in employment in carbon-intensive industries. For designing policies to support displaced workers, it is crucial to better understand the cost of job loss, whether there are specific effects of being displaced from a ca...
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| Weitere Verfasser: | , |
| Format: | Elektronisch E-Book |
| Sprache: | English |
| Veröffentlicht: |
Paris
OECD Publishing
2023
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| Schriftenreihe: | OECD Economics Department Working Papers
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| Schlagworte: | |
| Online-Zugang: | Volltext |
| Zusammenfassung: | The green transformation of the economy is expected to lead to a sharp reduction in employment in carbon-intensive industries. For designing policies to support displaced workers, it is crucial to better understand the cost of job loss, whether there are specific effects of being displaced from a carbon-intensive sector and which workers are most at risk. By using German administrative labour market data and focusing on mass layoff events, we estimate the cost of involuntary job displacement for workers in high carbon-intensity sectors and compare it with the displacement costs for workers in low carbon-intensity sectors. We find that displaced workers from high carbon-intensity sectors have, on average, higher earnings losses and face stronger difficulties in finding a new job and recovering their earnings. Our results indicate that this is mainly due to human capital specificity, the regional clustering of carbon-intensive activities and higher wage premia in carbon-intensive firms. Workers displaced in high carbon-intensity sectors are older, face higher local labour market concentration and have fewer outside options for finding jobs with similar skill requirements. They have a higher probability to switch occupations and sectors, move to occupations that are more different in terms of skill requirements compared to the pre-displacement job, and are more likely to change workplace districts after displacement. Women, older workers and those with vocational degrees as well as workers in East Germany, experience particularly high costs in case they are displaced from high carbon-intensity sectors |
| Beschreibung: | 1 Online-Ressource (47 Seiten) 21 x 28cm |
| DOI: | 10.1787/6f636d3b-en |
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| indexdate | 2024-12-09T19:00:24Z |
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| language | English |
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| spelling | Barreto, Cesar Verfasser aut The cost of job loss in carbon-intensive sectors: Evidence from Germany Cesar, Barreto, Robert, Grundke and Zeev, Krill Paris OECD Publishing 2023 1 Online-Ressource (47 Seiten) 21 x 28cm txt rdacontent c rdamedia cr rdacarrier OECD Economics Department Working Papers The green transformation of the economy is expected to lead to a sharp reduction in employment in carbon-intensive industries. For designing policies to support displaced workers, it is crucial to better understand the cost of job loss, whether there are specific effects of being displaced from a carbon-intensive sector and which workers are most at risk. By using German administrative labour market data and focusing on mass layoff events, we estimate the cost of involuntary job displacement for workers in high carbon-intensity sectors and compare it with the displacement costs for workers in low carbon-intensity sectors. We find that displaced workers from high carbon-intensity sectors have, on average, higher earnings losses and face stronger difficulties in finding a new job and recovering their earnings. Our results indicate that this is mainly due to human capital specificity, the regional clustering of carbon-intensive activities and higher wage premia in carbon-intensive firms. Workers displaced in high carbon-intensity sectors are older, face higher local labour market concentration and have fewer outside options for finding jobs with similar skill requirements. They have a higher probability to switch occupations and sectors, move to occupations that are more different in terms of skill requirements compared to the pre-displacement job, and are more likely to change workplace districts after displacement. Women, older workers and those with vocational degrees as well as workers in East Germany, experience particularly high costs in case they are displaced from high carbon-intensity sectors Employment Economics Germany Grundke, Robert ctb Krill, Zeev ctb https://doi.org/10.1787/6f636d3b-en Verlag kostenfrei Volltext |
| spellingShingle | Barreto, Cesar The cost of job loss in carbon-intensive sectors: Evidence from Germany Employment Economics Germany |
| title | The cost of job loss in carbon-intensive sectors: Evidence from Germany |
| title_auth | The cost of job loss in carbon-intensive sectors: Evidence from Germany |
| title_exact_search | The cost of job loss in carbon-intensive sectors: Evidence from Germany |
| title_full | The cost of job loss in carbon-intensive sectors: Evidence from Germany Cesar, Barreto, Robert, Grundke and Zeev, Krill |
| title_fullStr | The cost of job loss in carbon-intensive sectors: Evidence from Germany Cesar, Barreto, Robert, Grundke and Zeev, Krill |
| title_full_unstemmed | The cost of job loss in carbon-intensive sectors: Evidence from Germany Cesar, Barreto, Robert, Grundke and Zeev, Krill |
| title_short | The cost of job loss in carbon-intensive sectors: Evidence from Germany |
| title_sort | the cost of job loss in carbon intensive sectors evidence from germany |
| topic | Employment Economics Germany |
| topic_facet | Employment Economics Germany |
| url | https://doi.org/10.1787/6f636d3b-en |
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