000 01970nam a22001577a 4500
999 _c528180
_d528180
008 241114b ||||| |||| 00| 0 eng d
100 _aZhang, Letian and Wang, Shinan
_959538
245 _aTrusting talent: Cross-country differences in hiring
260 _aAdministrative Science Quarterly
300 _a69(2), Jun, 2024: p.417-457
520 _aThis article argues that a society’s level of social trust influences employers’ hiring strategies. Employers can focus either on applicants’ potential and select on foundational skills (e.g., social skills, math skills) or on their readiness and select on more-advanced skills (e.g., pricing a derivative). The higher (lower) the social trust—people’s trust in their fellow members of society—the more (less) employers are willing to invest in employees and grant them role flexibility. Employers in higher-trust societies are therefore more attentive to applicants’ potential, focusing more on foundational skills than on advanced skills. We empirically test this theory by using a novel dataset of more than 50 million job postings from the 28 European Union countries. We find that the higher a country’s social trust, the more its employers require foundational skills instead of advanced skills. Our identification strategy takes advantage of multinational firms in our sample and uses measures of bilateral (country-to-country) trust to predict job requirements, while including an instrumental variable and fixed effects on country, year, employer, and occupation. These findings suggest a novel pathway by which social trust shapes employment practices and organizational strategies.- Reproduced https://journals.sagepub.com/doi/full/10.1177/00018392241233257
650 _aTrust, Hiring, Employment practice, Skill, Cross-country, MNC, Job design, Management, Organization Labor market.
_948871
773 _aAdministrative Science Quarterly
906 _aEMPLOYMENT
942 _cAR