The Determinants of Hiring Older Workers: Evidence from Hong Kong

Posted: 11 May 1999

See all articles by John S. Heywood

John S. Heywood

University of Wisconsin at Milwaukee

Lok Sang Ho

Chu Hai College of Higher Education; Chu Hai College of Higher Education

Xiangdong Wei

Lingnan College

Abstract

A 1996 survey of Hong Kong establishments designed to identify hiring and employment patterns by workers' age shows that, as in the United States, many firms employed older workers but did not hire older workers. This pattern appears to reflect mainly economic forces, rather than public policy, given that no laws prohibited age discrimination or required uniform fringe benefit provision in Hong Kong. The empirical evidence from the survey is consistent with two broad hypotheses. First, workers and firms are more willing to invest in training when workers are young. Second, delayed compensation more effectively deters shirking among young workers than among older workers and is more readily accepted by young workers.

JEL Classification: J14, J22

Suggested Citation

Heywood, John S. and Ho, Lok Sang and Ho, Lok Sang and Wei, Xiangdong, The Determinants of Hiring Older Workers: Evidence from Hong Kong. Available at SSRN: https://ssrn.com/abstract=146843

John S. Heywood (Contact Author)

University of Wisconsin at Milwaukee ( email )

3210 N. Maryland Avenue, Bolton Hall 802
Bolton Hall 802
Milwaukee, WI 53211
United States
414-229-4437 (Phone)
414-229-3860 (Fax)

Lok Sang Ho

Chu Hai College of Higher Education ( email )

80 Castle Peak Road
Tuen Mun
Hong Kong

Chu Hai College of Higher Education ( email )

Yi Lok Street, Rivera Gardens
Tsuen Wan
Hong Kong

Xiangdong Wei

Lingnan College ( email )

8 Castle Peak Road
Hong Kong
China

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