working Paper
Formal search and referrals from a firm's perspective
published
Martina
Rebien
author
Michael
Stops
author
Anna
Zaharieva
author 22426124
10053
department
This study explores the relationship between firms’ characteristics and their recruitment strategies.
We propose a model based on a search and matching framework with two search channels: a formal
channel which is costly for firms and a costless informal channel, i.e. referrals. There is a continuum
of heterogeneous vacancies in our model where every firm with an open vacancy chooses an optimal
search effort in order to attract job candidates. This search effort depends on the productivity of the
firm and, contrary to the previous literature, workers send simultaneous applications to open vacancies.
We assess the model predictions by using the IAB Job Vacancy Survey, a representative survey
among human resource managers in Germany reporting information about their most recent recruitment
case. Based on the finding that firm size and productivity are positively correlated we show that:
(1) Larger firms invest more effort into formal search activities; (2) Firms invest more formal search
effort in labour markets for more educated workers; (3) The positive relationship between firm’s size
and formal search intensity can also be observed for firms that don’t use referrals; (4) Firms that use
referrals as a search channel invest less effort into formal search compared to firms that don’t use
referrals; (5) Larger firms are less likely to hire an applicant by referral than smaller firms, and (6)
More intensive search effort leads to a larger number of applications.
https://pub.uni-bielefeld.de/download/2914351/2914352/IMW_working_paper_578.pdf
application/pdfno
Center for Mathematical Economics2017
eng
firm sizeproductivity heterogeneitysearch effortreferralsrecruitment strategies
0931-6558urn:nbn:de:0070-pub-29143518
578
Rebien M, Stops M, Zaharieva A (2017) Center for Mathematical Economics Working Papers; 578.<br />Bielefeld: Center for Mathematical Economics.
Rebien, Martina, Stops, Michael, and Zaharieva, Anna. <em>Formal search and referrals from a firm's perspective</em>. Bielefeld: Center for Mathematical Economics, 2017. Center for Mathematical Economics Working Papers. 578.
<div style="text-indent:-25px; padding-left:25px;padding-bottom:0px;">Rebien, M., Stops, M. & Zaharieva, A. (2017). <em>Formal search and referrals from a firm's perspective</em> (Center for Mathematical Economics Working Papers). Bielefeld: Center for Mathematical Economics.</div>
Rebien M, Stops M, Zaharieva A (2017) <br /><em>Formal search and referrals from a firm's perspective</em>. Center for Mathematical Economics Working Papers; 578.<br />Bielefeld: Center for Mathematical Economics.
Rebien M, Stops M, Zaharieva A. <em>Formal search and referrals from a firm's perspective</em>. Center for Mathematical Economics Working Papers. Vol 578. Bielefeld: Center for Mathematical Economics; 2017.
<div style="text-indent:-25px; padding-left:25px;padding-bottom:0px;">Rebien, M., Stops, M., & Zaharieva, A. (2017). <em>Formal search and referrals from a firm's perspective</em> (Center for Mathematical Economics Working Papers, 578). Bielefeld: Center for Mathematical Economics.</div>
<div style="text-indent:-25px; padding-left:25px;padding-bottom:0px;">Rebien, Martina, Stops, Michael, and Zaharieva, Anna. 2017. <em>Formal search and referrals from a firm's perspective</em>. Vol. 578. Center for Mathematical Economics Working Papers. Bielefeld: Center for Mathematical Economics.</div>
M. Rebien, M. Stops, and A. Zaharieva, <em>Formal search and referrals from a firm's perspective</em>, Center for Mathematical Economics Working Papers, vol. 578, Bielefeld: Center for Mathematical Economics, 2017.
Rebien, M., Stops, M., and Zaharieva, A. (2017). Formal search and referrals from a firm's perspective. <em>Center for Mathematical Economics Working Papers</em>, 578, Bielefeld: Center for Mathematical Economics.
Rebien, M., Stops, M., Zaharieva, A.: Formal search and referrals from a firm's perspective. Center for Mathematical Economics Working Papers, 578. Center for Mathematical Economics, Bielefeld (2017).
Rebien, M., Stops, M., & Zaharieva, A. (2017). <em>Formal search and referrals from a firm's perspective</em> (Center for Mathematical Economics Working Papers, 578). Bielefeld: Center for Mathematical Economics.
M. Rebien, M. Stops, and A. Zaharieva, <em>Formal search and referrals from a firm's perspective</em>, Center For Mathematical Economics, Bielefeld, <strong>2017</strong>.
M. Rebien, M. Stops, and A. Zaharieva, Formal search and referrals from a firm's perspective, Center for Mathematical Economics Working Papers (Center for Mathematical Economics, Bielefeld, 2017).
Rebien, M.; Stops, M.; Zaharieva, A. (2017): Formal search and referrals from a firm's perspective. Bielefeld: Center for Mathematical Economics.
Rebien, M., Stops, M., & Zaharieva, A., 2017. <em>Formal search and referrals from a firm's perspective</em>, Center for Mathematical Economics Working Papers, no.578, Bielefeld: Center for Mathematical Economics.
29143512017-10-02T07:21:09Z2018-07-24T13:01:30Z