Social Indicators Research

, Volume 134, Issue 2, pp 437–454 | Cite as

A New Multidimensional Approach to Measuring Precarious Employment

  • Carmelo García-Pérez
  • Mercedes Prieto-Alaiz
  • Hipólito Simón
Article
  • 485 Downloads

Abstract

This article proposes a new methodology to measure precarious employment with a multidimensional approach. The adjusted multidimensional precariousness rate employed to measure job precariousness is calculated on a counting approach and exhibit several advantages, including its decomposability according to the relative contribution to total precariousness of different dimensions and sub-populations. For illustrative purposes, the methodology is applied to the Spanish case using microdata from the Encuesta de Estructura Salarial (Wage Structure Survey) and considering three precariousness dimensions of jobs (low wages, fixed-term contracts and part-time work). The evidence obtained shows that at the beginning of the economic crisis there was an increase in the incidence and intensity of precariousness for new jobs created in the Spanish economy. Moreover, obtained evidence shows that the incidence of precarious employment is particularly high in certain economic sectors and for females.

Keywords

Precarious employment Labour market Counting approach 

JEL Classification

J20 J21 J28 J80 

Notes

Acknowledgments

This study has received funding from Spain’s Ministry of Economy and Competitiveness (Project CSO2014-55780-C3-2-P) and from Autonomous Community of Madrid and European Commission (Project S2015/HUM-3416-DEPOPOR-CM).

Compliance with Ethical Standards

Conflict of interest

The authors declare that they have no conflict of interest.

References

  1. Abowd, J. M., & Kramarz, F. (1999). The analysis of labor markets using matched employer-employee data. In O. Ashenfeiter & D. Card (Eds.), Handbook of labor economics (Vol. 3B, pp. 2629–2710). Amsterdam: Elsevier.Google Scholar
  2. Alkire, S., & Foster, J. (2007). Counting and multidimensional poverty measures. OPHI Working Paper, no 7.Google Scholar
  3. Alkire, S., & Foster, J. (2011). Counting and multidimensional poverty measurement. Journal of Public Economics, 95(7–8), 476–487.CrossRefGoogle Scholar
  4. Amuedo-Dorantes, C. (2000). Work transitions into and out of involuntary fixed-term employment in a segmented market: Evidence from Spain. Industrial and Labor Relations Review, 53(2), 309–325.CrossRefGoogle Scholar
  5. Arranz, J. M., García-Serrano, C., & Hernanz, V. (2016). Indice de calidad de empleo. Madrid: ASEMPLEO.Google Scholar
  6. Barbier, J. (2004). A comparative analysis of ‘employment precariousness’ In Europe. European Research Centre, Cross-National Research Papers, 7, pp. 7–19.Google Scholar
  7. Banco de España (several years): Informe anual.Google Scholar
  8. Beach, C. M., Chow, K. V., Formby, J. P., & Slotsve, G. A. (1994). Statistical inference for decile means. Economic Letters, 45(2), 161–167.CrossRefGoogle Scholar
  9. Card, D., & de la Rica, S. (2006). Firm-level contracting and the structure of wages. Industrial and Labor Relations Review, 59(4), 573–593.CrossRefGoogle Scholar
  10. Carrasco, R., Jimeno, J. F., & Ortega, A. (2014). Returns to Skill and the distribution of wages: Spain 1995–2006. Oxford Bulletin of Economics and Statistics,. doi: 10.1111/obes.12077.Google Scholar
  11. Casado, J. M., & Simón, H. (2015). La evolución de la estructura salarial (2002–2010). Revista de Economía Aplicada, XXII(67), 5–43.Google Scholar
  12. Clark, A. (2005). Your money or your life: Changing job quality in OECD countries. British Journal of Industrial Relations, 43(3), 377–400.CrossRefGoogle Scholar
  13. Davia, M. A., & Hernanz, V. (2004). Temporary employment and segmentation in the Spanish labour market: An empirical analysis through the study of wage differentials. Spanish Economic Review, 6(4), 291–318.CrossRefGoogle Scholar
  14. Davidson, R., & Duclos, J. Y. (2000). Statistical inference for stochastic dominance and for the measurement of poverty and inequality. Econometrica, 68(6), 1435–1464.CrossRefGoogle Scholar
  15. De la Rica, S. (2004). Wage gaps between workers with indefinite and fixed-term contracts: The impact of firm and occupational segregation. Moneda y Crédito, 219(1), 43–69.Google Scholar
  16. European Commission. (2001). Employment in Europe, Luxembourg: http://ec.europa.eu/employment_social/employment_analysis/eie/2001_en.pdf.
  17. Fernández-Kranz, D., Paul, M., & Rodríguez-Planas, N. (2014). Part-time work fixed-term contracts, and the returns to experience. Oxford Bulletin of Economics and Statistics, forthcoming,. doi: 10.1111/obes.12073.Google Scholar
  18. Fudge, J., Tucker, E., & Vosko, L. (2002). The legal concept of employment: Marginalizing workers. Ottawa: Report for the Law Commission of Canada.Google Scholar
  19. Gradín, C., Cantó, O., & del Río, C. (2012). Measuring employment deprivation among households in the EU. ECINEQ Working Papers (No. 247).Google Scholar
  20. Guadalupe, M. (2003). The hidden costs of fixed term contracts: the impact on work accidents. Labour Economics, 10(3), 339–357.CrossRefGoogle Scholar
  21. Güell, M., & Petrongolo, B. (2007). How binding are legal limits? Transitions from fixed-term to permanent work in Spain. Labour Economics, 14(2), 153–183.CrossRefGoogle Scholar
  22. Hamermesh, D. (2008). Fun with matched firm-employee data: Progress and road maps. Labour Economics, 15(4), 662–672.CrossRefGoogle Scholar
  23. Hernanz, V., & Toharia, L. (2006). “Do temporary contracts increase work accidents? A microeconometric comparison between Italy and Spain”, Labour. Review of Labour Economics and Industrial Relations, 20(3), 475–504.Google Scholar
  24. Hirsch, B. T. (2005). Why do part-time workers earn less? The Role of Workers and Job Skills, Industrial and Labor Relations Review, 58(4), 525–551.CrossRefGoogle Scholar
  25. Holmlund, B., & Storrie, D. (2002). Fixed-term work in turbulent times: the Swedish experience. The Economic Journal, 112(480), F245–F269.CrossRefGoogle Scholar
  26. Houseman, S., & Machiko, O. (1998). What is the nature of part-time work in the United States and Japan? In J. O’Reilly & C. Fagan (Eds.), Part-time prospects: An international comparison of part-time work in Europe (pp. 232–251). Routledge: North America, and the Pacific Rim.Google Scholar
  27. Iglesias, C., Llorente, R., & Dueñas, D. (2011). Calidad del empleo y satisfacción laboral en las regiones españolas. Un estudio con especial referencia a la Comunidad de Madrid, Investigaciones Regionales, 19, 25–49.Google Scholar
  28. ILO. (2004). Economic security for a better world. Geneva: ILO.Google Scholar
  29. Kalleberg, A. (2009). Precarious work, insecure workers: Employment relations in transition. American Sociological Review, 74(1), 1–22.CrossRefGoogle Scholar
  30. Kalleberg, A. (2011). Good jobs, bad jobs: The rise of polarized and precarious employment in the United States, 1970s to 2000s. New York: Russel Sage Foundation.Google Scholar
  31. Krahn, H. (1995). Non-standard work on the rise. Perspectives on Labour and Income, 7(4), 35–42.Google Scholar
  32. Laparra, M. (2006). La construcción del empleo precario. Madrid: Fundación FOESSA, Cáritas Española Editores.Google Scholar
  33. Lasso de la Vega, C. (2010). Counting poverty orderings and deprivation curves. In J. A. Bishop (Ed.), Studies in applied welfare analysis: Papers from the third ECINEQ meeting, research on economic inequality, 18 (pp. 153–172). Bingley: Emerald Group Publishing Limited.CrossRefGoogle Scholar
  34. Leschke, J., & Keune, M. (2008). Precarious employment in the public and private service sectors: Comparing the UK and Germany. In M. Keune, J. Leschke, & A. Watt (Eds.), Privatisation and liberalisation of public services in Europe: An analysis of economic and labour market impacts. ETUI: Brussels.Google Scholar
  35. Leschke, J., Watt, A., & Finn, M. (2008). Putting a number on job quality? Constructing a European job quality index. ETUI-REHS Working Paper, 2008.Google Scholar
  36. Leschke, J., Watt, A., & Finn, M. (2012). Job quality in the crisis: An update of the Job Quality Index (JQI), Working paper 2012.07, Brussels: ETUI.Google Scholar
  37. Loughlin, C., & Murray, M. (2013). Employment status congruence and job quality. Human Relations, 66, 529–553.CrossRefGoogle Scholar
  38. O’Connell, P. J., & Gash, V. (2003). The effects of working time, segmentation and labour market mobility on wages and pensions in Ireland. British Journal of Industrial Relations, 41, 71–95.CrossRefGoogle Scholar
  39. OECD. (2013a). It’s all about people: jobs, equality, and trust, May 2013, Paris, institutional edition.Google Scholar
  40. OECD. (2015a). Final NAEC synthesis, Paris institutional edition.Google Scholar
  41. OECD. (2015b). Non-standard work, job polarisation and inequality, in OECD. It together: Why less inequality benefits all. Paris: OECD Publishing.Google Scholar
  42. Olsthoorn, M. (2014). Measuring precarious employment: A proposal for two indicators of precarious employment based on set-theory and tested with Dutch labor market-data. Social Indicators Research, 119(1), 421–441.CrossRefGoogle Scholar
  43. Polivka, A. E. (1996). Contingent and alternative work arrangements, defined. Monthly Labor Review, 119(10), 3–9.Google Scholar
  44. Quinlan, M., Mayhew, C., & Bohle, P. (2001). The global expansion of precarious employment, work disorganisation and occupational health: A review of recent research. International Journal of Health Services, 31(2), 335–414.CrossRefGoogle Scholar
  45. Rodgers, G. (1989). Precarious employment in Western Europe: The state of the debate. In Precarious jobs in market labour regulation: The growth of atypical employment in Western Europe. Geneva: International Institute for Labour Studies.Google Scholar
  46. Rodgers, G., & Rodgers, J. (1989). Precarious jobs in labour market regulation: The growth of atypical employment in Western Europe. Geneva: ILO.Google Scholar
  47. Royuela, V., López-Tamayo, J., & Suriñach, J. (2008). The institutional vs. the academic definition of the quality of work life. What is the focus of the European Commission? Social Indicators Research, 86(3), 401–415.CrossRefGoogle Scholar
  48. Royuela, V., López-Tamayo, J., & Suriñach, J. (2009). Results of a quality of work life index in Spain. A comparison of survey results and aggregate social indicators. Social Indicators Research, 90(2), 225–241.CrossRefGoogle Scholar
  49. Russo, G., & Hassink, W. (2008). The part-time wage gap: A career perspective. De Economist, 156(2), 145–174.CrossRefGoogle Scholar
  50. Sen, A. (1976). Poverty: An ordinal approach to measurement. Econometrica, 44(2), 219–231.CrossRefGoogle Scholar
  51. UNECE. (2014). Statistical framework for measuring quality of employment, prepared by the Expert Group on Measuring Quality of Employment. United Nations Economic Commission for Europe.Google Scholar
  52. Vives, A., González, F., Moncada, S., Llorens, C., & Benach, J. (2015). Measuring precarious employment in times of crisis: The revised employment precariousness scale (EPRES) in Spain. Gaceta Sanitaria, 29(5), 379–382.CrossRefGoogle Scholar
  53. Vosko, L. (2002). Rethinking feminization: Gendered precariousness in the Canadian labour market and the crisis in social reproduction. Annual Robarts Lecture. Robarts Centre for Canadian Studies.Google Scholar
  54. Vosko, L. (2006). Precarious employment: Understanding labour market insecurity in Canada. Montreal: McGill-Queen’s University Press.Google Scholar

Copyright information

© Springer Science+Business Media Dordrecht 2016

Authors and Affiliations

  • Carmelo García-Pérez
    • 1
  • Mercedes Prieto-Alaiz
    • 2
  • Hipólito Simón
    • 3
  1. 1.Faculty of Economics and Management SciencesUniversity of AlcaláAlcalá de HenaresSpain
  2. 2.University of ValladolidValladolidSpain
  3. 3.University of Alicante-IEI-IEBAlicanteSpain

Personalised recommendations