Raising the bar for models of turnover
By: Erwan Quintin and John J. Stevens.
Contributors: Stevens, John J.
Series: Finance and economics discussion series ;; 2005-23; Finance and economics discussion series (Online) ;; 2005-23.
Publisher: Federal Reserve Board
Published: 2005
Place of publication: Washington, D.C
Language: eng
Format: Electronic resource
Description: "It is well known that turnover rates fall with employee tenure and employer size.  We document a new empirical fact about turnover: Among surviving employers, separation rates are positively related to industry-level exit rates, even after controlling for tenure and size.  Specifically, in a dataset with over 13 million matched employee-employer observations for France, we find that, all else equal, a 1 percentage point increase in exit rates raises separation rates by 1/2 percentage point on average.  Among current year hires, the average effect is twice as large.  This relationship between exit rates and separation rates is robust to a host of data and statistical considerations.  We review several standard models of worker turnover and argue that a model with firm-specific human capital accumulation most easily accounts for this new empirical fact"--Federal Reserve Board web site.
Notes: Also available in print.
Includes bibliographical references.
Title from PDF file as viewed on 5/20/2005.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.