The shifting incidence of involuntary job losses from 1968 to 1992

Risks of involuntary job losses among male workers are examined with data spanning 1968 to 1992 from the Panel Study of Income Dynamics. We find that the incidence of involuntary job losses among prime-age men with strong links to the labor market rose substantially over the period under investigation and about as much for college-educated and older workers as for less educated and less experienced workers. The only labor market group not sharing the burden of higher job-loss risks were government workers. Overall, involuntary job losses were distributed more evenly across skill groups during periods of macroeconomic expansion than during periods of contraction.