Labor Market Segmentation

his model of the labor market segmentation has been developed over the years to accommodate the fact that different job professionals work in completely different job markets. For example, Lawyers and fashion designers work in different markets. Some of the major dividing-lines that have been identified are occupational, geographical, and industrial. Occupational labor-markets arise from the division of labor, increasing differentiation and specialization. These workers are unable to switch between occupations because they require different skills and extensive investment in training and qualifications. For example although nurses and doctors are comprised of separate occupational labor-markets even though they work side by side in the same organizations. For examples specifying the minimum qualifications and experience requirement it restricts the entry into an occupation even if they work side by side in an organization. Geographical labor-markets are also defined considering that neither employers nor workers can move to another location without acquiring considerable amount of costs. As a result wages can remain higher in big cities as opposed to smaller cities. For example there are a vast number of unemployed people in certain parts of the world as opposed to others primarily because of the demographics, is it a town, city or near to home work place. The Industrial labor-markets arise where employers in certain industries require particular skill or a combination of skills, and employees seek to keep workers for a long period of time after they have been trained. Some examples of industrial jobs would be, police officers, civil servants, teachers, nurses as well as employers, while exercising the same range of skills in their work while obtaining industry-standard ...
Word (s) : 604
Pages (s) : 3
View (s) : 509
Rank : 0
   
Report this paper
Please login to view the full paper