Abstract
In this paper we analyze the preferences about job security using tools from behavioral economics. We focus on the non-pecuniary value of job security and specifically whether this value depends on the current position of employees as tenured or non-tenured. Using a sample of 107 Israeli social workers, randomly allocated between tenured and non-tenured positions, we demonstrate that the non-pecuniary value of job security is about 20% of the wage. We also found that this value depends on the point of reference of the employees. Those with tenure place a higher value on job security, as do those with a higher level of loss aversion.
Original language | English |
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Pages (from-to) | 1131-1145 |
Number of pages | 15 |
Journal | Social Indicators Research |
Volume | 139 |
Issue number | 3 |
DOIs | |
State | Published - 1 Oct 2018 |
Keywords
- Job security
- Loss aversion
- Status quo bias
ASJC Scopus subject areas
- Developmental and Educational Psychology
- Arts and Humanities (miscellaneous)
- Sociology and Political Science
- General Social Sciences