Research Seminar Series on “Global Challenges” -Anna Raute (Queen Mary University London), 13th April 2023 at 12.15 p.m. (CET)

Research Seminar Series on “Global Challenges”

Anna Raute (Queen Mary University London) on “Hiring Subsidies and Female Employment” (with Mimosa Distefano and Lorenzo Incoronato), jointly organised by the Centro Studi Luca d’Agliano, BAFFI CAREFIN and the Department of Economics, Management and Quantitative Methods (University of Milan) in collaboration with the Dipartimento di Economia, Metodi Quantitativi e Strategie di Impresa (UniversitĂ  Milano Bicocca) and the Dipartimento di Ingegneria Gestionale (Politecnico di Milano) and the Department of Economics (University of Insubria).

The seminar will be held on Thursday, 13th April 2023 at 12:15 p.m. (CET) in a hybrid format:

– DEMM seminar room, Via Conservatorio 7, 2nd floor.

– Via Zoom. Please register by email to centro.dagliano@unimi.it

Abstract

We assess the effectiveness of gender-specific hiring subsidies at reducing gender differences in employment and pay setting at the firm level. Exploiting the introduction of a large hiring subsidy for female workers in Italy, we use a staggered event-study design to investigate the dynamic effect of the subsidy on firm outcomes, focusing in particular on their hiring decisions. Results show that a) firms that use the hiring subsidy hire women with longer non-employment spells and who are mothers, b) that the subsidized female hires are positively selected compared to the average firm’s hire, and c) that they are more likely to remain employed at the firm in the long term, with a higher probability of having their contract changed to an open-ended contract. Preliminary heterogeneity analysis suggests that the subsidy permits firms to learn about potential productivity of disadvantaged workers.