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Session Overview
RN17_08a_P: Crisis, Post-Crisis and Employment Relations (special session 4)
Thursday, 31/Aug/2017:
6:00pm - 7:30pm

Session Chair: Andreas Kornelakis, King's College London
Location: PC.6.30
PANTEION University of Social & Political Sciences 136 Syggrou Avenue 17671 Athens, Greece Building: C, Level: 6.
Organized by John Geary, Andreas Kornelakis, Oscar Molina, Roberto Pedersini

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Returns of Education. Labour Market Inequalities in times of crisis.

Olga Papadopoulou

University of the Aegean, Greece

The study of the labour market and of the triptych “labour market, human capital and earnings” is an extremely important issue for the competitiveness of the economy. Dealing with labour market and the formation of individuals’ earnings through human capital are the main objects of the paper, which aims to contribute to the current scientific debate.

This paper focuses on the Greek labour market, within the framework of national economy that characterised by a great transformation, because of the crisis that began in 2010.

The main research question, which connects economic inequality and educational inequality in the context of the labour market, is formulated as follows:

“Do differences in human capital or education lead in inequality on individuals’ earnings and consequently in inequality on the labour market of Greece?”

The main research question is summarised to the following subquestions:

- “In which extent workers’ human capital-characteristics (such as education and experience) explain possible variations in individuals’ earnings in the Greek labour market?”

- “Are individuals’ earnings determined by a series of other personal characteristics (such as gender or marital status)?”

In order to answer the above questions, human capital theory will be used as the main theoretical framework, together with application of Mincer equations. Specifically, the relationship between earnings and a number of explanatory variables will be investigated using a microdata set from Household Budget Surveys 2011, by Hellenic Statistical Authority. Results showed that education and professional experience positively associated with individual earnings, with university education showed the highest performance.

The young people in the labor market: employment issues

Nina Arsentyeva1, Sergei Busygin2

1Institute of Economics and Industrial Engineering, Russian Federation; 2Novosibirsk State University, Russian Federation

Data: sociological survey of 4365 graduates of the professional education system conducted in 2015-2016 in the Novosibirsk region.

Theoretical basis of this study relies on the works of the founders of the human capital theory T.Shultz’s, G.Beсker’s and others.

The economic crisis of 2008 and the post-crisis period negatively reflected on the state of the labor market. The fraction of full-time employment with sufficient compensation is reducing and the fraction of part-time and temporary employment is increasing. There is an increase of jobs that require low or medium qualification. These characteristics are peculiar to the labor market of the Novosibirsk Region and majority of other Russian regions.

Labor market is a place of conversion of human capital into capital. In this context it is important to study the behavior of the population that looking for a work, adapting to new opportunities, organizing priorities in the labor market and demonstrating work motivation. The results show us that young people are "sacrificing" a received profession (63%) for employment in any job. The current situation contradicts a national goal of building-up of a human capital and innovative potential of the economy.

The paper analyzes the amount of losses in professional and qualificational potential of the economy and human society as a result of the degradation of the socio-economic characteristics of the sector. It also describes those segments of the labor market, where deprofessionalization risks of workers are especially great.

Negative attitudes towards unemployment in European countries, in relation to the activation shift & macroeconomic changes

Veerle Buffel1, Sarah Van de Velde2

1Ghent University, Belgium; 2University of Antwerp, Belgium

This study investigates public attitudes towards unemployment within the context of the recent economic crisis and the activation shift in Europe. We use two waves –1999-2000 and 2008-2009– of the European Value Survey (EVS). By using the information of a high number of countries (25) and combining two waves of the EVS (50 country-years), we are able to relate the macroeconomic and institutional context as well as changes therein to individual’s attitudes towards unemployment. A negative social image about people who don’t work seems to predominate in all European countries, and has strengthened in several countries from 1999 to 2008. Our results have revealed that the public attitude towards unemployed individuals becomes more negative in countries with a strong increase in unemployment levels. In countries with on average a high level of expenditures on Active Labor Market Programs as well as in countries with an increase in efforts in activation, people are less eager to agree that ‘not working turns into laziness and that ‘receiving benefits without working for it is humiliating’. In sum, a strong economic downturn may reinforce the negative social image of people without work, while efforts in activation rather weaken this negative image. These findings highlight the importance of studying macroeconomic and institutional characteristics in cross national and dynamic nature on attitudes towards unemployment.

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