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Lucy P. Eldridge Sabrina Wulff Pabilonia

Are Those Who Bring Work Home Really Working Longer Hours? Implications for BLS Productivity Measures. Lucy P. Eldridge Sabrina Wulff Pabilonia. Disclaimer: The views expressed are those of the authors and do not necessarily reflect the policies of the BLS. Labor Productivity Growth.

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Lucy P. Eldridge Sabrina Wulff Pabilonia

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  1. Are Those Who Bring Work Home Really Working Longer Hours?Implications for BLS Productivity Measures Lucy P. Eldridge Sabrina Wulff Pabilonia Disclaimer: The views expressed are those of the authors and do not necessarily reflect the policies of the BLS

  2. Labor Productivity Growth Output Growth - Hours Worked Growth • Quarterly labor productivity for major sectors (principal federal economic indicator) • Industry labor productivity • International comparisons of labor productivity in manufacturing for 15 countries

  3. Questions • Who is bringing work home from the workplace and why? • Do workers who bring work home work longer hours than those who only work in the workplace? • Does the BLS’ nonfarm business sector labor productivity measure capture work brought home from the workplace?

  4. Sources of Work at Home Data • American Time Use Survey (ATUS) • May CPS Supplement on Work Schedules and Work at Home (CPS Supplement)

  5. American Time Use Survey (ATUS) • 2003 - 2006 time-use daily diaries • Hours worked constructed using minutes for main job, by location • Restrict sample to nonfarm business sector employees who work on their diary day

  6. ATUS: Bring Work Home Variable • Weekday diary day • Report any minutes of work for their main job at the workplace and at home on the same day • Weekend/holiday diary day • Report any minutes of work at home

  7. May CPS Supplement: Work Schedules and Work at Home(CPS Supplement) • 1997, 2001 and 2004 • All respondents from the May CPS are asked supplement questions • Questions about work schedules and work at home

  8. CPS Supplement: Bring Work Home Variable • “As part of this job do you do any of your work at home?” • “Do you have a formal arrangement with your employer to be paid for the work that you do at home or were you just taking work home from the job?

  9. Percent of Nonfarm Business Employees, by Work Location

  10. Who is bringing work home? • Estimate a multinomial logit model • Compare those who bring work home with • those who work exclusively at the workplace (ATUS) • those who do no work at home (CPS Supplement)

  11. Who is bringing work home?Demographic characteristics • Black employees are less likely than white employees • Hispanic employees are less likely than non-Hispanic employees • Highly-educated employees are more likely than less-educated employees • Female employees are less likely than male employees (except 2001 CPS Supplement) • Older employees are more likely than younger employees (CPS Supplement)

  12. Who is bringing work home?Parental Status • Parents of young children are more likely than those without children • Mothers of infants are less likely than fathers of infants (CPS Supplement)

  13. Reasons for Working at HomeProportion of Nonfarm Business Employees Who Bring Work Home, (CPS Supplement)

  14. Do those who bring work home work longer hours?(ATUS diary hours)

  15. Do those who bring work home work longer hours?(ATUS diary hours)

  16. Do those who bring work home work longer hours?(ATUS diary hours)

  17. Do those who bring work home work longer hours?(ATUS diary hours)

  18. Do those who bring work home work longer hours? (ATUS) Average weekly hours (AWH)

  19. Do those who bring work home work longer hours? (CPS Supplement) Average weekly hours (AWH)

  20. BLS Hours Worked for all Persons in the Nonfarm Business Sector • Primary of source of hours data is the Current Employment Statistics (CES) survey • Supplement with other information where CES data are lacking, most importantly • Estimate nonproduction/supervisory worker hours using a ratio from the Current Population Survey (CPS) by major industry groups • Convert CES hours-paid to an hours-at-work basis using National Compensation Survey (NCS) • Add hours for self-employed, government enterprise, and unpaid family workers from CPS

  21. Share of Nonfarm Business Sector Hours and Employment, by Type of Worker: 2004 Hours Worked Employment • Production/Nonsupervisory Employees • Nonproduction/Supervisory Employees • Nonemployees

  22. Does the BLS’ nonfarm business labor productivity measure capture work brought home? • Estimate percent of unmeasured hours for production/nonsupervisory employees and nonproduction/supervisory employees separately • Assume that hours worked at workplace are measured • Assume hourly workers are less likely to do unpaid work at home than salaried workers • Assume that CPS respondents include hours worked at home in their reported AWH

  23. Hours worked forProduction/ NonsupervisoryEmployees • Measured hours • Unmeasured hours

  24. Percent of Unmeasured Hours Worked for Production/Nonsupervisory Employees

  25. Percent of Unmeasured Hours for Production/NonsupervisoryEmployees in Nonfarm Business Sector

  26. Percent of Unmeasured Hours for Production/NonsupervisoryEmployees in Nonfarm Business Sector

  27. Percent of Unmeasured Hours for Production/NonsupervisoryEmployees in Nonfarm Business Sector

  28. Hours worked forNonproduction/ SupervisoryEmployees • Measured hours • Percent of unmeasured hours assuming hours at home are reported accurately in CPS AWH

  29. Percent of Unmeasured Hours for Employees in Nonfarm Business Sector

  30. Does the BLS’ nonfarm business labor productivity measure capture work brought home? • What if those who bring work home are not able to accurately recall work at home in average weekly hours reported to the CPS?

  31. Hours worked forNonproduction/ SupervisoryEmployees(Reporting bias) • Measured hours • Percent of unmeasured hours assuming reporting bias

  32. Percent of Unmeasured Employee Hours in the Nonfarm Business Sector (Reporting Bias)(ATUS)

  33. Percent of Unmeasured Employee Hours in the Nonfarm Business Sector (Reporting Bias)(ATUS)

  34. Does BLS’ nonfarm business productivity capture unpaid work at home? • An adjusted hours series (levels) for all persons that captures work from home, will be approximately 0.6%– 1.1% higher than official series • An adjusted hours series (levels) for all persons that captures work from home, will be approximately 0.8%– 1.1% higher than official series (reporting bias)

  35. Conclusions • 8-9% of nonfarm business employees brought some of their work home ( 1997 – 2006) • Employees tend to bring work home in order to finish or catch up on work not completed in the workplace • Evidence suggest employees bring work home at least in part to better balance work and family • Highly-educated workers are more likely to bring work home than less-educated work

  36. Conclusions • Those who bring work home work longer hours than those who work exclusively in a workplace • There may be a 0.6-1.1% downward bias in measured hours levels • Unmeasured hours worked at home have little affect on productivity trends

  37. ATUS/CPS Supplement Match 2004 • 745 nonfarm business employees • 93 brought work home (CPS Supplement) • 45 brought work home on weekday(ATUS) • Only 21 ever work at home in CPS Supplement • 45 brought work home on weekend(ATUS) • 69% did not have a formal arrangement to be paid for work at home in the CPS Supplement

  38. Hours worked forProduction/ NonsupervisoryEmployees(Reporting bias) • Measured hours • Percent of unmeasured hours

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