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|Title: ||Three essays on flexible working arrangements and labour market outcomes|
|Authors: ||Li, Jing|
|Supervisor(s): ||Guell, Maia|
|Issue Date: ||26-Jun-2012|
|Publisher: ||The University of Edinburgh|
|Abstract: ||This thesis looks at the effects of flexible working arrangements on workers' labour
market outcomes. The particular type of flexible working arrangement analysed
in this thesis is called "flexitime". This is an arrangement which gives workers
the freedom to choose when to start and end their work. Flexitime provides
workers with a new way to cater to their domestic responsibilities and in turn
may reduce the costs of participating in the labour market. Therefore, it is closely
connected with workers' compensation structure, human capital accumulation
process, labour supply and job mobility. The effects of flexitime on workers'
labour market outcomes are analysed from three aspects: wage, labour supply,
and job mobility.
The first chapter gives an introduction and overview of the thesis. The second
chapter is a study on the compensating wage differentials associated with flexitime.
In general I do not find convincing evidence showing the existence of compensating
wage differentials associated with flexitime. One possible reason might
be that flexitime brings additional benefits to firms (such as increased productivity
and reduced turnover rate) so that firms may not necessarily need to reduce
actual wages in exchange for flexitime provision.In the third chapter, I develop a
model describing how flexitime may affect workers' labour supply decisions. The
main finding of the model is that flexitime will increase workers' labour supply
when the benefit associated with flexitime (increased child care production efficiency) is high relative to the cost of wage reduction (prediction 1). Meanwhile,
the model also predicts that flexitime causes high human capital workers to increase
their labour supply more than low human capital workers (prediction 2).
Empirical findings show that
flexitime is positively associated with working mothers'
labour market hours, which confirms model prediction 1. However, there is
arguably insufficient empirical evidence verifying model prediction 2. The fourth
chapter considers the relationship between flexitime and workers' job satisfaction
and job mobility. Flexitime is associated with high job satisfaction levels
for both male and female workers. It also reduces the probability of quitting for
female workers with young children. Male workers' job mobility decisions are not
significantly affected by flexitime. The fifth chapter gives the conclusion of the
compensating wage differentials
|Appears in Collections:||Economics thesis and dissertation collection|
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