Arbeitspapier
The Health Externalities of Downsizing
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 high-quality 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.
- Language
-
Englisch
- Bibliographic citation
-
Series: IZA Discussion Papers ; No. 13984
- Classification
-
Wirtschaft
Labor Turnover; Vacancies; Layoffs
Health Behavior
Labor Demand
- Subject
-
downsizing
mass layoffs
health
job insecurity
- Event
-
Geistige Schöpfung
- (who)
-
Ahammer, Alexander
Grübl, Dominik
Winter-Ebmer, Rudolf
- Event
-
Veröffentlichung
- (who)
-
Institute of Labor Economics (IZA)
- (where)
-
Bonn
- (when)
-
2020
- Handle
- Last update
-
10.03.2025, 11:42 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Ahammer, Alexander
- Grübl, Dominik
- Winter-Ebmer, Rudolf
- Institute of Labor Economics (IZA)
Time of origin
- 2020
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Complexities of health and acceptance of electronic health records for the Austrian elderly population
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