This paper analyzes the transition in employment status of temporary employees using data collected after the temporary employment protection legislation was enacted in 2007. Even after the law was implemented, the transition rate from temporary emplo...
This paper analyzes the transition in employment status of temporary employees using data collected after the temporary employment protection legislation was enacted in 2007. Even after the law was implemented, the transition rate from temporary employment to permanent employment remains very low, confirming the segmentation of the labor market between permanent and temporary employment. My analysis shows that the employment status of temporary employees changes frequently. Moreover, switching to another temporary job, becoming unemployed, or dropping out of the labor force are more common than shifting to permanent jobs. I investigate some factors that affect the transition in employment status of temporary employees using a competing risks model that applies Cox’s proportional hazard model. I find some evidence of the segmented labor market and some factors that affect the patterns of transition in employment status of temporary employees.