The Workforce of Pioneer Plants

@article{Hausmann2019TheWO,
  title={The Workforce of Pioneer Plants},
  author={Ricardo Hausmann and Frank Neffke},
  journal={European Economics: Labor \& Social Conditions eJournal},
  year={2019}
}
Is labor mobility important in technological diffusion? We address this question by asking how plants assemble their workforce if they are industry pioneers in a location. By definition, these plants cannot hire local workers with industry experience. Using German social-security data, we find that such plants recruit workers from related industries from more distant regions and local workers from less-related industries. We also show that pioneers leverage a low-cost advantage in unskilled… 
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16 Citations
Background Citations
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16 Citations

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TLDR
It is found that the growth and survival of pioneers increase significantly when their first hires are workers with experience in a related industry and with work experience in the same location, but not with past experience in an related occupation.
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