Title
Labour productivity and innovation performance: The importance of internal labour flexibility practices
Author
Preenen, P.T.Y.
Vergeer, R.
Kraan, K.O.
Dhondt, S.
Publication year
2017
Abstract
This article develops and examines the idea that internal labour flexibility practices are beneficial for labour productivity and innovation performance of companies. This is tested in two studies using unique company level datasets. In Study 1, results obtained from 377 independent companies revealed that internal labour flexibility practices are positively related to objective labour productivity and its growth in the year following, also when controlled for objective labour productivity and objective external labour flexibility from the year before. In Study 2, results obtained from 4271 companies indicated that internal labour flexibility practices were positively related to product innovation and labour productivity. Findings suggest that internal labour flexibility practices benefit both labour productivity and innovation performance of companies. If innovation and labour productivity are considered key to long-term survival, firms and policymakers should consider internal labour flexibility practices.
Subject
Life
SP - Sustainable Productivity and Employability WHC - Work, Health and Care
ELSS - Earth, Life and Social Sciences
Work and Employment
Workplace
Healthy Living
Innovation performance
Internal labour flexibility practices
Labour flexibility
Labour productivity
Product innovation
To reference this document use:
http://resolver.tudelft.nl/uuid:a8a4cc68-db63-4055-996d-e21bd5741095
DOI
https://doi.org/10.1177/0143831x15572836
TNO identifier
523789
Source
Economic and Industrial Democracy, 38 (2), 271-294
Document type
article