Institute for Employment Research
Institute for Employment Research
News Article | April 17, 2017
A recent study by the W.E. Upjohn Institute found the National Institute of Standards and Technology’s (NIST) Manufacturing Extension Partnership (MEP) Program generates a substantial economic and financial return of nearly 9:1 for the $130 million annually invested by the federal government. The Manufacturing Extension Partnership (MEP) is a federal public-private partnership that provides small- and medium-sized manufacturers (SMMs) technology-based services they need to thrive in today’s economy and create well-paying manufacturing jobs. The MEP program is managed by NIST and the U.S. Department of Commerce and implemented through a network of centers located in every state. MEP centers are not-for-profit organizations that employ a network of more than 1,300 industry experts who work directly with manufacturers in the field to improve productivity and enhance competitiveness. Using the national REMI® model, along with the results from the FY2016 NIST MEP client impact survey conducted by Fors Marsh, the W.E. Upjohn Institute for Employment Research study finds that economic returns are substantially higher than previously reported by the MEP program due to broader economic effects. Each year, an independent firm surveys manufacturers regarding the impact they have achieved from MEP Center services. In 2016, MEP clients reported $9.4 billion new and retained sales of which $2.3 billion is new sales providing an economic stimulus of 17 to 1 (based on the $130 million federal investment) and the creation or retention of 86,602 jobs. The Upjohn study reports that the $130 million invested in MEP during FY2016 generated an 8.7 to 1 increase in federal personal income tax ($1.13B/$130M federal investment). The study looked solely at personal income tax and not business taxes, and provides a conservative estimate of the return. In addition, the Upjohn study finds more jobs were generated by the MEP program than directly reported by its clients. The study finds that more than 142,000 additional jobs existed in the U.S because of MEP center projects last year than would have without the program. This estimate includes direct, indirect, and induced jobs generated by MEP projects. These jobs support additional manufacturing jobs critical to U.S. supply chains and jobs outside of manufacturing. Lastly, the Upjohn study also examined additional areas of economic impact not previously reported by the MEP Program; personal income is $8.44 billion higher and GDP is $15.4 billion larger, translating to an increase of $1.13 billion in personal income tax revenue to the federal government than would be reported without the program. Dave Boulay, PhD, President of the Illinois Manufacturing Excellence Center and Chair of the American Small Manufacturers Coalition states, “Accountability to economic returns is essential for any federally funded program dedicated to strengthening our economy. These results reinforce what manufacturers that have used MEP already know - this program provides a strong return by strengthening our nation's manufacturers and preparing their workforce to compete in the global economy.” To view the study in its entirety, please visit: http://research.upjohn.org/reports/226/
News Article | April 25, 2017
PISCATAWAY, N.J.--(BUSINESS WIRE)--Establishing the first conclusive link between broad-based employee stock ownership and increased employment stability, a study co-authored by Rutgers School of Management and Labor Relations Distinguished Professor Douglas Kruse finds that companies with employee stock ownership had only half as many layoffs as other companies during the last two recessions. The findings appear in the new book, How Did Employee Ownership Firms Weather the Last Two Recessions?, published in the academic press. “If good-paying, stable jobs are the economy’s goal, then encouraging employee stock ownership in companies makes a lot of sense,” said Douglas Kruse, Distinguished Professor and J. Robert Beyster Faculty Fellow at the Rutgers School of Management and Labor Relations. “As part of corporate tax reform, there’s a good case for providing some of these tax incentives to companies that adopt employee stock ownership.” Higher productivity is the most likely explanation for fewer layoffs. Prior studies have shown that employees who own shares in their companies tend to work harder and take greater pride in what they do. This higher productivity, Kruse argues, makes their companies more likely to succeed and less likely to cut jobs – even during the recessions that stuck the U.S. from 2001-03 and 2009-11. “Employee ownership is often seen primarily as a way to improve employee relations and increase productivity, but these results show there is an important add-on effect on job stability,” Kruse said. “Lower unemployment and greater stability are good for the whole economy. These results suggest important benefits if employee ownership were expanded beyond the 20 percent of private sector workers who now hold employer stock.” Kruse, a former Senior Economist with the President’s Council of Economic Advisers, co-authored the research and the book with University of Massachusetts Amherst Associate Professor Fidan Ana Kurtulus. They analyzed data from more 8,000 companies with publicly traded stock as part of their groundbreaking, three-year study supported by a grant from the publisher, the W.E. Upjohn Institute for Employment Research. Rutgers School of Management and Labor Relations is the world’s leading source of expertise on managing and representing workers, designing effective organizations, and building strong employment relationships.
Brunow S.,Institute for Employment Research |
Grunder M.,VGN GmbH
Transportation | Year: 2013
There is a broad body of theoretical and empirical literature dealing with trip chaining behaviour. This paper adds to the literature while focusing on the impact of activity chaining on the duration of time spent on individual purposes. Two questions in particular are addressed: first, does an additional purpose added to a trip chain affect the duration of the activities included? Second, is there any pattern of included activities that explains differences in duration? Duration data models are employed using German data. We find evidence that the number of purposes influences duration significantly. Leisure, shopping and personal business activities are affected by the occurrence of obligatory activities (work, school/university). We cannot find any evidence that personal business or leisure activities influence the duration of shopping, whereas the opposite is supported. Therefore, in terms of daily activities, obligatory and shopping activities are superior to leisure and personal business. We conclude that activity chaining and especially the pattern of combined purposes affect the duration of activities allocated to single purposes while controlling for a wide range of other explanatory variables. The results can be used in transport and simulation models. © 2012 Springer Science+Business Media New York.
Tisch A.,Institute for Employment Research
European Journal of Ageing | Year: 2015
In the examination of older employees’ employability, one can distinguish between internal and external employability. Internal employability can be measured by individual employment stability, and external employability occurs when employees replace one employment relationship with another. Most studies focus on the personal skills and characteristics that are necessary to maintain employability. However, external factors also contribute to individual employability. Therefore, this study examines which organisational attributes of firms contribute to older employees’ employability in Germany. Taking firm and individual characteristics into account, the results of discrete-time survival models show that in specific organisational structures, older employees have higher internal employability. Accordingly, older employees are more likely to maintain employment in the service sector and in recruiting organisations facing (skilled) labour shortages. However, the results also indicate that financially investing organisations facilitate early labour market exits. With regard to older employees’ external employability, the results show only little evidence indicating an association between organisational attributes of firms and the likelihood of job change. © 2014, Springer-Verlag Berlin Heidelberg.
Wrobel M.,Institute for Employment Research
Papers in Regional Science | Year: 2015
How regional clusters - and the firms constituting it - respond to major economic shocks has only recently become the centre of attention in regional research. Taking the concept of 'adaptive resilience' as a point of departure, and using a mixed methods approach (firm survey, multivariate analysis, expert interviews), this study explores the response of cluster and non-cluster firms of the German mechanical engineering sector during the initial phase of the crisis (2008-2009). Findings show a significantly more positive employment trend in cluster firms than in non-cluster firms. Further analyses of the mechanisms that allow cluster firms to exhibit more resilience than other firms suggest that solidarity and altruism among regional actors were of particular importance in the beginning of the crisis. © 2013 RSAI.
Drechsler J.,Institute for Employment Research |
Reiter J.P.,Duke University
Computational Statistics and Data Analysis | Year: 2011
Highlights: Statistical agencies can release simulated data as public use files. Nonparametric regression can be adapted to simulate such datasets. Synthesizers using CART, random forests, support vector machines were compared. CART shown to give highest data utility for acceptable disclosure risk. Nonparametric methods are easy to employ and hence appealing options for agencies. © 2011 Elsevier B.V. All rights reserved.
Brixy U.,Institute for Employment Research |
Brixy U.,Ludwig Maximilians University of Munich
Regional Studies | Year: 2014
This study addresses the debate about whether start-ups increase regional productivity growth through such effects as the fostering of competition. A new longitudinal dataset at the establishment level for eastern and western Germany is used to analyse the impact of the number of start-ups and their survival on the growth of total factor productivity and employment. It is demonstrated that start-ups do affect regional productivity growth. But the impact is not proved continually: it varies between the manufacturing and the service sector and between the two parts of Germany. © 2014 Regional Studies Association.
Niebuhr A.,Institute for Employment Research
Papers in Regional Science | Year: 2010
Recent theoretical research deals with economic costs and benefits of cultural diversity related to immigration. However, empirical evidence regarding the impact of cultural diversity on economic performance is still scarce. We analyse the effect of cultural diversity of the labour force on patent applications for a cross-section of German regions. The results suggest that differences in knowledge and capabilities of workers from diverse cultural backgrounds enhance performance of regional R&D sectors. As regards innovation, the benefits of diversity seem to outweigh the costs caused, for example, by communication barriers. © 2009 the author(s). Journal compilation © 2009 RSAI.
vom Berge P.,Institute for Employment Research
Annals of Regional Science | Year: 2013
This paper develops a general equilibrium geographical economics model, which uses matching frictions on the labor market to generate regional unemployment disparities alongside the usual core-periphery pattern of industrial agglomeration. In the model, regional wage differentials do not only influence migration decisions of mobile workers, but also affect the bargaining process on local labor markets, leading to differences in vacancies and unemployment as well. In a setting with two regions, both higher or lower unemployment rates in the core region are possible equilibrium outcomes, depending on transport costs and the elasticity of substitution. Stylized facts suggest that both patterns are of empirical relevance. © 2012 Springer-Verlag.
Drechsler J.,Institute for Employment Research
Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics) | Year: 2010
Generating synthetic datasets is an innovative approach for data dissemination. Values at risk of disclosure or even the entire dataset are replaced with multiple draws from statistical models. The quality of the released data strongly depends on the ability of these models to capture important relationships found in the original data. Defining useful models for complex survey data can be difficult and cumbersome. One possible approach to reduce the modeling burden for data disseminating agencies is to rely on machine learning tools to reveal important relationships in the data. This paper contains an initial investigation to evaluate whether support vector machines could be utilized to develop synthetic datasets. The application is limited to categorical data but extensions for continuous data should be straight forward. I briefly describe the concept of support vector machines and necessary adjustments for synthetic data generation. I evaluate the performance of the suggested algorithm using a real dataset, the IAB Establishment Panel. The results indicate that some data utility improvements might be achievable using support vector machines. However, these improvements come at the price of an increased disclosure risk compared to standard parametric modeling and more research is needed to find ways for reducing the risk. Some ideas for achieving this goal are provided in the discussion at the end of the paper. © 2010 Springer-Verlag Berlin Heidelberg.