Faculty of Economy – Univercity Jos´e Eduardo dos Santos UJES-Angola
Centre for Transdisciplinary Development Studies (CETRAD); Quinta dos Prados, 5000-801 Vila Real, Portugal, http://www.cetrad.info/
This study analyses gross job-creation and gross job-destruction determinants at the firm level for a panel of Portuguese micro firms across four industry sectors, using the Ordinary Leat Square and Fixed Effect econometrics model to analyse a database consisting on 15.686 micro firms, for time period going from 2010 to 2017. It was found that laggard gross job-creation, assets tangibility, financial leverage, profits and the fact firms belong to the construction sector determines gross job-creation. Regarding gross job-destruction, its was found that this variable is determined by its laggard variable, firm’s size, worker’s tenure and the fact the firm belongs to the hotels and restaurants sector. Finally, findings suggest that a resource-based approach explains gross job-creation and gross job-creation for micro firms by using microdata. This study contributes to the state of the art on the determinants of employment and firing at micro firms’ level as it investigates the importance of the independent variables in explaining micro firm’s labour demand in Portugal.
Keywords: Gross job-creation, gross job-destruction, micro firms, Portugal
JEL classification: M10, O14, O18, O44