Working Papers, School of Business, Örebro University
The Effect of Hiring Top Workers on Productivity: What is the Role of Absorptive Capacity?
() and Aili Tang
Abstract: We examine heterogeneous productivity effects of hiring
top workers on small and medium-sized enterprises, using longitudinal
employer-employee data. We find the productivity effect to be stronger for
firms with higher absorptive capacity in terms of having a well-educated
workforce, being in a knowledge-intensive industry or performing R&D.
Technological laggards within an industry benefit more strongly from hiring
top workers if their workforce is more well-educated.
Keywords: recruitment; knowledge spillover; firm growth; productivity; SME; absorptive capacity; (follow links to similar papers)
JEL-Codes: D22; D24; D83; J24; J62; (follow links to similar papers)
12 pages, March 24, 2017
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