George Washington University, USA, and IZA, Germany
IZA World of Labor role
Professor of Economics, George Washington University, USA
Labor economics, social insurance
Positions/functions as a policy advisor
Fellow at Global Labor Organization and Public Policy Scholar at George Washington Institute for Public Policy
Professor of Economics, Ohio State University, USA (1977–1995); Associate Professor, Ohio State University, USA (1973–1977)
PhD Economics, University of Chicago, 1970
"Job displacement insurance." In: Wright, J. (ed.). International Encyclopedia of the Social and Behavioral Sciences, 2nd Edition. Oxford: Elsevier, 2015.
"Understanding severance pay." Spanish Journal of Economics and Finance 36:106 (2013): 155–165.
"Mandated severance pay and firing cost distortions: A critical review of the evidence." In: Holzmann, R., and M. Vodopivec (eds). Reforming Severance Pay: An International Perspective. Washington, DC: World Bank, 2012; pp.121–157.
"Wage insurance: A policy review." Research in Employment Policy 2 (2000): 119–140.
"The employment relationship: Job attachment, work effort, and the nature of contracts." In: Ashenfelter, O., and R. Layard (eds). Handbook of Labor Economics, Vol. II. Amsterdam: North Holland Press, 1986; pp. 789–848.
Wage losses upon re-employment can seriously harm long-tenured displaced workers if they are not properly insuredDonald O. Parsons, June 2018Job displacement represents a serious earnings risk to long-tenured workers through lower re-employment wages, and these losses may persist for many years. Moreover, this risk is often poorly insured, although not for a lack of policy interest. To reduce this risk, most countries mandate scheduled wage insurance (severance pay), and it is voluntarily provided in others. Actual-loss wage insurance is uncommon, although perceived difficulties may be overplayed. Both approaches offer the hope of greater consumption smoothing, with actual-loss plans carrying greater promise.MoreLess