Labour Market Segmentation: Standard and Non-Standard Employment in Germany

Abstract

Data from the German Socio-Economic Panel provide insight into the relationship between standard and non-standard work, from the perspective of dual labour market theory. We identify two segments that largely correspond to the common distinction between these forms of employment and find substantial differences in the determination of wages, as well as the composition of worker and job characteristics. These differences tend to increase after the Hartz reforms. The estimates also indicate the existence of a primary sector wage premium and job rationing, as well as specific patterns of labour mobility due to (partly non-economic) barriers between segments.JEL classification: J31, J42, J62.We employ the concept of the dual labour market, as described by Piore (1971) and Doeringer and Piore (1971), in order to derive three hypotheses pertaining to the considered job types. M. GarzAccording to Piore (1971) and Doeringer and Piore (1971), mobility barriers between the two segments are caused by three factors. First, in contrast with fully competitive markets, wage premiums and job rationing erect barriers. M. Garz

Costs and benefits resulting from employing foreigners as perceived from the labour market segments perspective (based on the data from Opolskie Voivodeship in Poland)

“…belonging to the 'better" or 'worse' segment of the labour market may also depend on the nature of employment -whether it is permanent or temporary (Garz, 2013;rubery & Piasna, 2016). research from the united States, stating that nonstandard employment increases the likelihood of bad work, i.e.…”

Trabajo a tiempo parcial y desigualdad salarial en la industria manufacturera en México (2005-2015)

“…Garz (2013), por ejemplo, realizó un estudio sobre la relación entre el trabajo estándar y no estándar en Alemania. Identificó dos segmentos que atañen a la distinción entre estos dos tipos de empleo, cuyas diferencias se ubican en la determinación de salarios y las características del empleado y el propio trabajo.…”

The Contribution of Mothers’ Employment on Their Family's Chances of Ending Welfare Benefit Receipt in Germany. Analysis of a Two-Stage Process

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