The Value of Job Security: Does Having It Matter?

Eitan Hourie, Miki Malul, Raphael Bar-El

Research output: Contribution to journalArticlepeer-review

2 Scopus citations

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 languageEnglish
Pages (from-to)1131-1145
Number of pages15
JournalSocial Indicators Research
Volume139
Issue number3
DOIs
StatePublished - 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

Fingerprint

Dive into the research topics of 'The Value of Job Security: Does Having It Matter?'. Together they form a unique fingerprint.

Cite this