Employee flows to study firm and employment dynamics

Karen Geurts, Peter Vets
October 2013

Statistics on employer and job dynamics that are based on administrative firm-level data sets are overestimated due to failures in the longitudinal linking of firm records. This paper presents a method for record linking based on information on the continuity of the firm’s work force.

Our point of departure is a linked employer-employee data set covering the full population of Belgian employers. We describe the linkage algorithm and how it can be used to obtain more accurate statistics. We illustrate the impact of the method on measures of employer and job dynamics. The method is the result of close collaboration with the Statistics Department of the Belgian Social Security Office.

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Dynam Working Paper 2013