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Labour supply in the early stages of the CoViD-19 Pandemic: Empirical Evidence on hours, home office, and expectations

Author

Listed:
  • Hans-Martin von Gaudecker

    (University of Bonn, Department of Economics, Bonn, Germany)

  • Radost Holler

    (Bonn Graduate School of Economics, Bonn, Germany)

  • Lena Janys

    (University of Bonn, Department of Economics, Bonn, Germany; IZA Institute of Labor Economics, Bonn, Germany)

  • Bettina Siflinger

    (Tilburg University, The Netherlands)

  • Christian Zimpelmann

    (IZA Institute of Labor Economics, Bonn, Germany; Bonn Graduate School of Economics, Bonn, Germany)

Abstract
Using a survey module administered in late March 2020, we analyze how working hours change under the social distancing regulations enacted to _ght the CoViD-19 pandemic. We study the Netherlands, which are a prototypical Western European country, both in terms of its welfare system and its response to the pandemic. We show that total hours decline and more so for the self- employed and those with lower educational degrees. The education gradient appears because workers with a tertiary degree work a much higher number of hours from home. The strength of this e_ect is dampened by the government de_ning some workers to be essential for the working of the economy. These tend to have lower degrees and do not reduce their hours at the usual workplace to the same degree as other workers. Across sectors, we show that there are two clusters: One dominated by o_ce-type occupations with high shares of academics, home-o_ce hours, and low fractions of essential workers; and one where manual tasks and social interactions are prevalent with low shares of academics, home o_ce hours, and often high shares of essential workers. Short- term expectations show that workers expect current patterns to prevail and that they expect a lot from government support schemes. In particular, many workers expect to keep their jobs in early June due to government support and the expected unemployment response is far lower than in the U.S. or the U.K..

Suggested Citation

  • Hans-Martin von Gaudecker & Radost Holler & Lena Janys & Bettina Siflinger & Christian Zimpelmann, 2020. "Labour supply in the early stages of the CoViD-19 Pandemic: Empirical Evidence on hours, home office, and expectations," ECONtribute Policy Brief Series 005, University of Bonn and University of Cologne, Germany.
    • Handle: RePEc:ajk:ajkpbs:005
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    References listed on IDEAS

    as
    1. Coibion, Olivier & Gorodnichenko, Yuriy & Weber, Michael, 2020. "Labor Markets During the Covid-19 Crisis: A Preliminary View," Department of Economics, Working Paper Series qt7rx7t91p, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    2. Titan Alon & Matthias Doepke & Jane Olmstead-Rumsey & Michèle Tertilt, 2020. "The Impact of COVID-19 on Gender Equality," NBER Working Papers 26947, National Bureau of Economic Research, Inc.
    3. Luigi Guiso & Luigi Pistaferri & Fabiano Schivardi, 2005. "Insurance within the Firm," Journal of Political Economy, University of Chicago Press, vol. 113(5), pages 1054-1087, October.
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    Cited by:

    1. Rune Bjerke, 2024. "The Multiple Advantages of Self-Leadership in Higher Education: The Role of Health-Promoting Self-Leadership among Executive MBA Students," Administrative Sciences, MDPI, vol. 14(9), pages 1-21, September.
    2. Daniel Graeber & Alexander S. Kritikos & Johannes Seebauer, 2021. "COVID-19: a crisis of the female self-employed," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(4), pages 1141-1187, October.
    3. Li, Teng & Barwick, Panle Jia & Deng, Yongheng & Huang, Xinfei & Li, Shanjun, 2023. "The COVID-19 pandemic and unemployment: Evidence from mobile phone data from China," Journal of Urban Economics, Elsevier, vol. 135(C).
    4. Marcel Rolf Pfeifer, 2021. "Human Resources during COVID-19: A Monthly Survey on Mental Health and Working Attitudes of Czech Employees and Managers during the Year 2020," Sustainability, MDPI, vol. 13(18), pages 1-20, September.
    5. Fadinger, Harald & Schymik, Jan & Alipour, Jean-Victor, 2020. "My Home Is My Castle -- The Benefits of Working from Home During a Pandemic Crisis: Evidence from Germany," CEPR Discussion Papers 14871, C.E.P.R. Discussion Papers.
    6. Hamish Low & Michaela Benzeval & Jon Burton & Thomas F. Crossley & Paul Fisher & Annette Jäckle & Brendan Read, 2020. "The Idiosyncratic Impact of an Aggregate Shock The Distributional Consequences of COVID-19," Economics Series Working Papers 911, University of Oxford, Department of Economics.
    7. Michèle Belot & Syngjoo Choi & Egon Tripodi & Eline van den Broek-Altenburg & Julian C. Jamison & Nicholas W. Papageorge, 2021. "Unequal consequences of Covid 19: representative evidence from six countries," Review of Economics of the Household, Springer, vol. 19(3), pages 769-783, September.
    8. Belot, Michèle & Choi, Syngjoo & Tripodi, Egon & van den Broek-Altenburg, Eline & Jamison, Julian C. & Papageorge, Nicholas W., 2020. "Unequal Consequences of COVID-19 across Age and Income: Representative Evidence from Six Countries," IZA Discussion Papers 13366, Institute of Labor Economics (IZA).
    9. Péter Benczúr & István Kónya, 2022. "Convergence to the Centre," Contributions to Economics, in: László Mátyás (ed.), Emerging European Economies after the Pandemic, chapter 0, pages 1-51, Springer.
    10. Alessandra Casarico & Salvatore Lattanzio, 2022. "The heterogeneous effects of COVID-19 on labor market flows: evidence from administrative data," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 20(3), pages 537-558, September.
    11. Lidia Farré & Yarine Fawaz & Libertad González Luna & Jennifer Graves, 2020. "How the covid-19 lockdown affected gender Inequality in paid and unpaid work in Spain," Economics Working Papers 1728, Department of Economics and Business, Universitat Pompeu Fabra.
    12. Peter A.G. van Bergeijk, 2021. "Pandemic Economics," Books, Edward Elgar Publishing, number 20401.
    13. Carsten Schröder & Theresa Entringer & Jan Goebel & Markus M. Grabka & Daniel Graeber & Martin Kroh & Hannes Kröger & Simon Kühne & Stefan Liebig & Jürgen Schupp & Johannes Seebauer & Sabine Zinn, 2020. "COVID-19 Is Not Affecting All Working People Equally," SOEPpapers on Multidisciplinary Panel Data Research 1083, DIW Berlin, The German Socio-Economic Panel (SOEP).
    14. Daniel L. Mendoza & Tabitha M. Benney & Rajive Ganguli & Rambabu Pothina & Benjamin Krick & Cheryl S. Pirozzi & Erik T. Crosman & Yue Zhang, 2020. "Understanding the Relationship between Social Distancing Policies, Traffic Volume, Air Quality, and the Prevalence of COVID-19 Outcomes in Urban Neighborhoods," Papers 2008.01828, arXiv.org.
    15. Marco Caliendo & Daniel Graeber & Alexander S. Kritikos & Johannes Seebauer, 2023. "Pandemic Depression: COVID-19 and the Mental Health of the Self-Employed," Entrepreneurship Theory and Practice, , vol. 47(3), pages 788-830, May.
    16. Wolter H. J. Hassink & Guyonne Kalb & Jordy Meekes, 2021. "Regional Coronavirus Hotspots During the COVID-19 Outbreak in the Netherlands," De Economist, Springer, vol. 169(2), pages 127-140, May.
    17. Hassink, Wolter & Kalb, Guyonne & Meekes, Jordy, 2020. "The Dutch Labour Market Early on in the COVID-19 Outbreak: Regional Coronavirus Hotspots and the National Lockdown," IZA Discussion Papers 13673, Institute of Labor Economics (IZA).
    18. Crossley, Thomas F. & Fisher, Paul & Low, Hamish, 2021. "The heterogeneous and regressive consequences of COVID-19: Evidence from high quality panel data," Journal of Public Economics, Elsevier, vol. 193(C).
    19. Verweij, Renske & Helmerhorst, Katrien & Keizer, Renske, 2021. "Work-to-family conflict, family-to-work conflict and their relation to perceived parenting and parent-child relationship before and during the Covid-19 lockdown," OSF Preprints cfn84, Center for Open Science.
    20. Tamás Keller & Hubert János Kiss, 2020. "The evolution of the relationship between delay of gratification and socioeconomic status during COVID-19-induced online education," CERS-IE WORKING PAPERS 2049, Institute of Economics, Centre for Economic and Regional Studies.
    21. Michael Gibbs & Friederike Mengel & Christoph Siemroth, 2023. "Work from Home and Productivity: Evidence from Personnel and Analytics Data on Information Technology Professionals," Journal of Political Economy Microeconomics, University of Chicago Press, vol. 1(1), pages 7-41.
    22. Alipour, Jean-Victor & Fadinger, Harald & Schymik, Jan, 2021. "My home is my castle – The benefits of working from home during a pandemic crisis," Journal of Public Economics, Elsevier, vol. 196(C).
    23. Cerqua, Augusto & Letta, Marco, 2022. "Local inequalities of the COVID-19 crisis," Regional Science and Urban Economics, Elsevier, vol. 92(C).
    24. Raphael Iten & Joël Wagner & Angela Zeier Röschmann, 2021. "On the Identification, Evaluation and Treatment of Risks in Smart Homes: A Systematic Literature Review," Risks, MDPI, vol. 9(6), pages 1-30, June.
    25. Cerqua, Augusto & Letta, Marco, 2020. "Local economies amidst the COVID-19 crisis in Italy: a tale of diverging trajectories," MPRA Paper 104404, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J40 - Labor and Demographic Economics - - Particular Labor Markets - - - General

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