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Erscheinungsjahr: 
2020
Schriftenreihe/Nr.: 
Working Paper No. 2005
Verlag: 
Johannes Kepler Universität Linz, Christian Doppler Laboratory Aging, Health and the Labor Market, Linz
Zusammenfassung: 
We show that downsizing has substantial externalities on the health of workers who remain in the firm. To this end, we study mass layoff (ML) survivors in Austria, using workers who survive a ML themselves, but a few years in the future, as a control group. Based on highquality administrative data, we find evidence that downsizing has persistent effects on mental and physical health, and that these effects can be explained by workers fearing for their own jobs. We also show that health externalities due to downsizing imply non-negligible cost for firms, and that wage cuts may have similar effects.
Schlagwörter: 
Downsizing
mass layoffs
health
job insecurity
JEL: 
J63
I12
J23
Dokumentart: 
Working Paper

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