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We show that the migration of low-skilled, rural workers to urban centers has a negative causal effect on innovation of firms in such urban centers. Our tests exploit the staggered relaxation of city-level household registration system in China, which facilitates rural residents to migrate to cities. We find a significant decrease in innovation for firms headquartered in cities that have adopted such policies relative to firms headquartered in cities that have not. Overall, our results support the view that an abundant supply of low-skilled workers increases the benefit of using existing low-skilled technology and thus reduces firms' incentive to innovate.

We employ data that match the population of Danish workers to the universe of private-sector Danish firms, with product-level trade flows by origin-and destination-countries. We document new stylized facts about offshoring and instrument for offshoring and exporting. Within job spells, offshoring increases (decreases) the high-skilled (low-skilled) wage; exporting increases the wages of all skill-types; the net wage-effect of trade varies substantially within the same skill-type; conditional on skill, the wage-effect of offshoring varies across task characteristics. We estimate the overall effects of offshoring on workers' present and future income streams by constructing pre-offshoring-shock worker-cohorts and tracking them over time.

This paper analyzes the role of specialized high-skilled labor in the disproportionate growth of the service sector. Empirically, the importance of skill-intensive services has risen during a period of increasing relative wages and quantities of high-skilled labor. We develop a theory in which demand shifts toward more skill-intensive output as productivity rises, increasing the importance of market services relative to home production. Consistent with the data, the theory predicts a rising level of skill, skill premium, and relative price of services that is linked to this skill premium.

In this study, the authors analyze leadership behaviors as potential health-promoting resources for low-skilled workers in a highly culturally diverse work setting. The authors hypothesize that subordinates' and supervisors' individual power distance orientations will moderate the effect of subordinates' perceptions of leadership behavior and the subsequent effects on their well-being. Multilevel modeling is used to analyze a sample of data from 474 low-skilled employees (50% immigrants) and 35 direct supervisors from three German companies. Supporting the hypotheses, social support, task-related communication, and positive feedback, as expressions of esteem, are found to positively impact subordinates' well-being, but individual consideration shows no significant effects. Furthermore, results confirm that supervisors' power distance orientation moderates employees' perceptions about supervisors' positive feedback and the subsequent well-being effects. The moderating effect fails to hold for employees' power distance orientation. Results indicate that supervisors can most effectively promote the health of low-skilled workers by showing esteem through positive feedback, but if the supervisor has high individual power distance orientation, the effect is attenuated.

PurposeThis study aims to investigate the relationship between self-determined motivation and organizational commitment, with the mediating role of cross-cultural adjustment of low-skilled workers who come from an emerging economy working in a developed economy. This study also aims to determine the interaction effect between intrinsic and extrinsic motivation on organizational commitment.Design/methodology/approachThis study collects a sample data of 236 Vietnamese laborers in Taiwan. Structural equation modeling is used to analyze data and test hypotheses.FindingsResults show that intrinsic and extrinsic motivations are positively related to organizational commitment. Cross-cultural adjustment positively mediates the relationship between intrinsic motivation and organizational commitment and that between extrinsic motivation and organizational commitment. Furthermore, extrinsic motivation positively moderates the relationship between intrinsic motivation and organizational commitment.Originality/valueThis study helps to untangle the relationship between self-determined motivation and organizational commitment of low-skilled workers in an unfamiliar environment. Furthermore, this study also clarifies the mediating and moderating mechanisms of cross-cultural adjustment and extrinsic motivation in this relationship. The findings provide implications for researchers and managers to plan and implement policy and management systems that combine tangible and intangible incentives to motivate foreign workers and induce positive outcomes for companies in a new cultural context.

The author analyzes the effects of further training subsidies for low-skilled employees on individual labor market outcomes in Germany. Using detailed administrative data, the author exploits cross-regional variation in the policy styles of local employment agencies to identify causal effects of program participation. Findings show that training subsidies significantly increase cumulative employment duration and earnings in the short run and middle run for compliers, that is, those workers who additionally participate due to a more generous policy style in their agency. These gains are particularly pronounced for certain subgroups, such as women. A rough cost-benefit analysis, however, suggests that the program overall is not beneficial for the public budget.

Background Canada depends on Temporary Foreign Workers (TFWs), also known as migrant workers, to fill labour shortage in agriculture, hospitality, construction, child/senior care, and other low-skilled occupations. Evidence shows that TFWs, especially women live-in caregivers (LC), constitute a vulnerable population. Their health is compromised by the precarious and harsh working and living conditions they encounter. There is a paucity of research on the mental health of LCs, their support systems and access to mental health services. Method In this community-based exploratory study, we used mixed methods of survey and focus groups to explore the work related experiences and mental health of migrant live-in caregivers in the Greater Toronto Area in Ontario, Canada. Convenience and snowball sampling were used to recruit participants. The inclusion criteria were: being 18 years or older, initially migrated to Canada as TFWs under LC program, resided in the Greater Toronto Area, and able to understand and converse in English based on self-report. This paper reports on the focus group results derived from inductive thematic analysis. Results A total of 30 women LCs participated in the study. Most of them were from the Philippines. A number of key themes emerged from the participants’ narratives: (1) precarious migration-employment status (re)produces exploitation; (2) deskilling and downward social mobility reinforce alienation; (3) endurance of hardship for family back home; (4) double lives of public cheerfulness and private anguish; and (4) unrecognized mental health needs. The study results reflected gross injustices experienced by these women. Conclusion A multi-faceted approach is required to improve the working and living conditions of this vulnerable group and ultimately their health outcomes. We recommend the following: government inspection to ensure employer compliance with the labour standards and provision of safe working and living conditions; change immigration policy to allow migrant caregivers to apply for permanent residence upon arrival; the TFWs Program to establish fair wages and subsidized housing so that caregivers can truly access the live-out option; and local ethno-specific, settlement and faith organizations be leveraged to provide TFWs with social support as well as information about their rights and how to access health and social care.

Temporary-help jobs offer rapid entry into paid employment, but they are typically brief and it is unknown whether they foster longer term employment. We utilize the unique structure of Detroit's welfare-to-work program to identify the effect of temporary-help jobs on labor market advancement. Exploiting the rotational assignment of welfare clients to numerous nonprofit contractors with differing job placement rates, we find that temporary-help job placements do not improve and may diminish subsequent earnings and employment outcomes among participants. In contrast, job placements with direct-hire employers substantially raise earnings and employment over a seven quarter follow-up period.

Abstract This study examines how generative AI impacts low-skilled workers in their daily professional lives, how it changes the nature of their work, and what, if any, strategies they develop to cope with this new reality. Emphasis is placed on call center agents—an occupational group facing a particularly high automation risk. Drawing on Constructivist Grounded Theory and semistructured interviews in an Austrian call center, we uncover how flawed generative AI tools have increased emotional labor among these workers. This increase is hypothesized to result in agents’ inability to embed their own problems in the larger social context of generative AI’s impact on the labor market, let alone to politicize these problems. They were thus said to lack sociological and political imagination. Our study is the first to link emotional labor with these forms of imagination among low-skilled workers, offering new analytical tools for future research on generative AI’s nuanced effects on the labor market. To empower low-skilled workers, foster their imaginations and address their concerns, we propose several policy recommendations, including targeted education campaigns, enhanced social dialogue, co-determination rights, and tailored upskilling programs. This study thus offers a valuable contribution to scientific research while providing practical implications for policymakers.

Low-skilled workers do not fare well in today's skill intensive economy and their opportunities continue to diminish. Utilizing data from the survey of income and program participation, this paper provides an analysis of the economic returns to business ownership among low-skilled workers and addresses the essential question of whether selfemployment is a good option for low-skilled individuals that policymakers might consider encouraging. The analysis reveals substantial differences in the role of self-employment among low-skilled workers across gender and nativity—women and immigrants are shown to be of particular importance from both the perspectives of trends and policy relevance. We find that, although the returns to low-skilled self-employment among men is higher than among women, the analysis shows that wage/salary employment is a more financially rewarding option for most low-skilled workers.