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Quits, layoffs, and job destruction

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We examine the quit-layoff distinction and its implications for job destruction from the employer's perspective. Using a set of panel data of Dutch firms, we get the following results. First, in addition to layoffs, quits contribute to the speed of downward adjustment of labour. Second, about 22% of the jobs of workers who resigned are destroyed. It is not clear-cut whether these resignations are initiated by employers or employees.
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Document Type: Research Article

Affiliations: 1: Department of Economics, Utrecht University, Utrecht, The Netherlands 2: Faculty of Economics/Faculty of Spatial Science, University of Groningen, Groningen, The Netherlands

Publication date: 2003-12-15

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