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www.skope.ox.ac.uk Thinking inside the box? Assessing mobility through typologies of employment organisation Craig Holmes and Ken Mayhew SASE Annual Conference, Universidad Autónoma de Madrid, June 24 th 2011

Www.skope.ox.ac.uk Thinking inside the box? Assessing mobility through typologies of employment organisation Craig Holmes and Ken Mayhew SASE Annual Conference,

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www.skope.ox.ac.uk

Thinking inside the box?

Assessing mobility through typologies of employment organisation

Craig Holmes and Ken Mayhew

SASE Annual Conference, Universidad Autónoma de Madrid, June 24th 2011

www.skope.ox.ac.uk

Introduction

• Much of emphasis by UK policymakers for improving mobility is placed on the supply side – more human capital greater upward mobility

• Labour market segmentation theories place more emphasis on organisation of employment within firms and occupations

• Evidence of strongly segmented labour markets is limited• However, the organisation of employment in terms of

mechanisms for within-firm and across-firm transitions is still an important barrier to mobility

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Introduction

• LMS theories lead to a simply typology of jobs:– Internal labour markets– Occupational labour markets– Secondary segment

• Aims of this paper– Is this simple typology a useful tool for analysing mobility?– Has this changed over time?

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Methodology

• UK Labour Force Survey• Two years: 1986 and 2008• 22 work characteristics over job quality; skills, education and

training; job transitions, and tenure• Factor analysis:

– Reduces the larger set of variables to a smaller set of underlying, unobserved factors

– Observed variables map onto different factors with different weights – Statistical software calculates weightings to explain as much variances

as possible– Use only factors that explain more than 1/22 of the total variance

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Methodology

• Grouping analysis:– Mean factor scores by occupation– Groupings suggested by data (not formal cluster analysis)– Focus on most common occupations (by narrowest occupational title)

• Changes over time– New occupations– Common occupations across both time periods

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Results

• Factor analysis:

PROMOTION TURNOVER INDUSTRY NON-SPEC

INTERNAL SECURITY TRADE PROFESSIONAL (1986 only)

SHIFT

INTRA-FIRM OCC CHANGE

INTRA-JOB FIRM CHANGE

INTRA-JOB INDUSTRY CHANGE

OTJ TRAINING FULL-TIME APPRENTICE PROF. QUALS SHIFT WORK

INTRA-FIRM JOB CHANGE

INTRA-OCC FIRM CHANGE

INTRA-OCC INDUSTRY CHANGE

DEGREE PERMANENT HOURS VARY PROF. QUALS(2008 only)

INTRA-INDUSTRY OCC CHANGE

INTRA-INDUSTRY FIRM CHANGE

UNPAID OT SELF EMPLOYED

INTRA-INDUSTRY JOB CHANGE

FULL-TIME

MORE RESPONS.

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Results – grouping occupations

• 1986 – INTERNAL vs. TRADE:

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Results – grouping occupations

• 2008 – INTERNAL vs. TRADE:

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Results – mobility

• Mean scores for PROMOTION (inter-firm job transitions), 1986 vs. 2008

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Results – mobility

• Mean scores for TURNOVER (across-firm job transitions), 1986 vs. 2008

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Results – mobility

• Mean scores for INDUSTRY NON-SPECIFIC (across-industry job transitions), 1986 vs. 2008

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Results – common occupations over time

• For occupations with large employment shares in both samples, TRADE and INTERNAL scores are highly correlated

Development of occupational labour market

No development of occupational labour market

More internalised No occupations Nurses, manager-proprietors, cleaners, domestic and school helpers

Less internalised Electricians, motor mechanics, carpenters, production managers, software professionals

Sales representatives, office managers, clerks

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Results – common occupations over time

• Some of these changes are coupled with expected changes to security and mobility factor scores:– e.g. office managers and supervisors of clerks have seen falls in

PROMOTION and rise in TURNOVER

• However, not always coupled with expected changes to mobility or security scores:– Production managers and systems analysts do not have higher

TURNOVER– Marketing managers and cashiers have higher PROMOTION scores– Some skilled trades do not all have higher TURNOVER (e.g. carpenters)

or INDUSTRY NON-SPECIFIC (e.g. electricians)– Teachers, typists and chefs have large changes in these outcomes,

despite little change in TRADE or INTERNAL

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Conclusion

• UK occupations across last thirty years can be grouped by methods of skill acquisition and relationship with employers– However, mobility and job security within these groups can vary

greatly and may contradict theory– Groupings have become less distinct over time hybrid groups,

weaker ILMs and OLMs.– Changes to employment organisation of occupations does not always

lead to predicted changes in security and mobility prospects• Two directions suggested by this analysis:

– Occupation factor scores may themselves be useful explanatory variables

– Can a better typology of employment be found? Could it be routed as well in theory as the ILM-OLM-secondary segment model?

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Contact Details

Craig HolmesESRC Centre on Skills, Knowledge and Organisational

Performance (SKOPE), Department of Education,

Norham Gardens,Oxford

Email: [email protected]