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• Events // 18.02.2021

  A Firm-Side Perspective on Parental Leave

  affected firms hire fewer women of fertile ages in replacement hiring and subsequent hiring, suggesting that firms internalise the costs  of longer worker absences through their hiring decisions. As other [...] While longer parental leave can help reconcile work and family life for parents, longer worker absences increase the gap in firms' business operations. The paper presented in this ZEW Research Seminar [...] reduces substantially with the introduction of a parental leave reform granting generous wage replacements for up to 14 months after childbirth. The reform caused a strong negative short-run labour supply
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  News // 30.07.2020

  The Future of Work Is Shaped by Change

  of low-skilled and older workers being left behind. This is why opportunities for further training and live-long learning should be made available for these groups of workers, suggests the deputy head [...] still require human labour and how the ongoing transformation will change qualification profiles for workers. There is good news for those who are worried about the end of human labour: “The bottom line is [...] while most jobs will undergo changes in the future, there is little risk that they will be entirely replaced by machines. Firstly, companies are only gradually implementing technological changes: “Experience
• Events // 06.03.2019

  Individual Consequences of Occupational Decline

  The prospect of labour-replacing technologies raises concerns about earnings and employment losses that workers may suffer when demand for their occupations declines. We estimate these losses using a [...] declines in occupational employment, which we apply to panel data on individual workers in Sweden. When we compare workers with very similar initial characteristics, we find that on average those facing [...] facing occupational decline lost about 2-5 percent of mean cumulative earnings from 1986-2013. But workers at the bottom of their oc-cupations’ initial earnings distributions suffered considerably larger earnings
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  Press Releases // 07.09.2018

  The Digital Transformation of the Labour Market – Willingness for Lifelong Learning Is Key

  Digital change poses major challenges to workers and businesses. While technological change is not a new phenomenon, the rapid development of information and communication technologies (ICT) in recent [...] consequences for employment. While technologies can have displacing effects for its capacity to replace human workforce, the extent of this displacement, however, is assessed highly differently. While [...] further training and retraining. The pressure to adapt is thereby particularly high for low-skilled workers. In an interview addressing the question “How will we work in the digitised world of the future?”
• News // 16.05.2008

  Nobel Laureate for Economics James J. Heckman on “Skills, Schools and Synapses”

  Heckman shed some light on the phenomenon on a new, growing lower class, which is increasingly replacing the traditional middle class. This phenomenon is particularly pronounced in the United States, although [...] main features of this growing lower class is a high rate of high school drop-outs and unskilled workers. In addition, this social group is characterised by a high prevalence of teenage pregnancies, high [...] themselves in the form of high unemployment rates or decreasing productivity among low-qualified workers. Currently, economies are spending large sums of money to combat these problems through, for instance
• Events // 02.03.2018

  Some Simple Macroeconomics of Artificial Intelligence and Automatic Investments – A User's Guide

  capita, output per worker, and economic growth. On the production side, tasks must be performed to produce output. Automation investments in the form of new machines partly replace human labor in the [...] performance of these tasks. On the household side, workers are endowed with a utility function proposed by Boppart and Krusell (2016). Accordingly, the individual labor supply may either increase or decrease
• News // 18.05.2005

  ZEW President Franz on Unemployment Benefits

  so-called mini-jobs, as long as we do not know in which ways this form of marginal employment is replacing regular jobs subject to social insurance contributions. Third, the developments regarding the “working [...] to earn almost 1,600 euros on the regular labour market in order to have the same net income as a worker engaged in such a “working opportunity” (30 hours a week, 2 euros per hour). Despite this justifiable
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  Press Releases // 04.04.2018

  Digitalisation Creates Jobs but Needs Targeted Support

  skilled workers in professions requiring interpersonal or analytical skills, for example. The possibility for workers to move between professions and sectors should therefore be encouraged. “Worker mobility [...] Preparing workers for the labour market of the future In tackling this issue, the real challenge posed by digitalisation and “Industry 4.0”, according to the researchers, is preparing workers for the labour [...] creating more jobs than it is destroying, but still poses many challenges for establishments and workers alike. To ensure that the German economy remains competitive in this arena, the government needs
• News // 10.04.2014

  The First 100 Days of the Grand Coalition

  Retirement at 63 achieves the opposite of this, raising expenditure on pensions and causing many workers to leave the labour market sooner, which will cause revenue from pension contributions to decrease [...] market – including young people, especially those without any form of training, as well as older workers and the long-term unemployed – are made exempt. Furthermore, the minimum wage should be adjusted [...] energy transition. Reducing the consumption of fossil fuels, turning away from nuclear energy and replacing these energy sources with renewable energy is no easy feat. Germany is an industrialised nation
• News // 13.04.2006

  ZEW President Wolfgang Franz on the Design of a Corporation Tax Reform – Tax Reform

  also taxed according to a proportional rate of 25 per cent. Furthermore, the trade tax could be replaced by communal supplementary taxes. The dual income tax system does not only improve Germany’s att [...] generates welfare gains by eliminating distortions. In this way, the dual system particularly benefits workers and plays a key role with regard to job creation.