Non-wage costs, employment and hours of work in Irish manufacturing industry
Item Type:Journal article
Citation:F.X. Kirwan, 'Non-wage costs, employment and hours of work in Irish manufacturing industry', Economic and Social Research Institute, Economic and Social Review, Vol. 10, No. 3, 1979, 1979, pp231-254
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This paper presents a recursive model of the short-run demand for workers and hours in Irish industry. On the assumption that employers minimise costs, the optimal employment/hours mix is shown to be a function of the ratio of non-wage to wage costs. A series of non-wage costs, comprising employers' social insurance, redundancy and pay-related contributions, is constructed and the model estimated with encouraging results. The steady rise in the importance of non-wage costs appears to have exerted a depressing effect on the level of employment. The resulting implications for a job creation strategy are then explored.
Author: Kirwan, F.X.
Publisher:Economic and Social Research Institute
Type of material:Journal article
Series/Report no:Economic and Social Review
Vol. 10, No. 3, 1979
Availability:Full text available