Separating Wheat and Chaff: Age-Specific Staffing Strategies and Innovative Performance at the Firm Level
30 Pages Posted: 12 Aug 2011
Date Written: June 1, 2011
Adopting a dynamic perspective, this paper investigates age-related staffing patterns in German establishments and their effect on innovative performance. First, we investigate how establishments achieve the necessary workforce rejuvenation - from the inflow of younger or from outflows of older workers. In addition, we explore whether certain staffing patterns are more likely to appear under different economic regimes. In a second step, we analyse whether an establishment’s innovative performance is related to the staffing patterns it experiences. The analysis of linked employer-employee data shows that most of the 585 German establishments covered rejuvenate by inflows of younger workers. Half of the establishments also use the outflow of older workers. Furthermore, workforces are more likely to become more age-heterogeneous in growing establishments. Finally, we do not find evidence that a youth-centred human resource strategy (always) fosters innovation.
Keywords: Workforce aging, staffing strategies, innovation
JEL Classification: M51, J24, O31
Suggested Citation: Suggested Citation