Work Sharing as a Solution to Over Employment Unemployment Paradox

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Khashabi, Pooyan | 2009

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Type of Document: M.Sc. Thesis
Language: Farsi
Document No: 39572 (44)
University: Sharif University of Technology
Department: Management and Economics
Advisor(s): Keshavar Haddad, Gholamreza
Abstract:
Over employment is a common phenomenon in Iran. Over 61% of the labor force with more than 31 years of work experience have worked more than 42 hours a week in year 2000. This amount, increases for the years 2001, 2003 & 2004 as 65.9%, 68.5% & 72.1%. In this research, we examined the possibility of job opportunity reallocation by increasing the overtime premium between over employed and unemployed labor force in Iranian labor market. For this goal, we estimated the determinants of overtime incidence and hours according to single selection & double selection approach, Tunali (1986). Pooled data from urban Iranian labor force- year 2005- was collected and analyzed. Our results clearly show more possibility of overtime incidence between male and married labor force. Also private sector employee’s are more likely to work overtime. Non-wage incomes and number of working children exert a negative effect on overtime incidence. The result is the same for overtime hours. The estimated overtime wage function, reports a decrease in overtime supply in higher overtime wages which provides evidence for the possibility of job opportunity reallocation between over employed and unemployed labor force
Keywords:
Over Time ; Over Time Hours ; Over Time Premium ; Sample Selection Model

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