Labour flexibility and productivity in the hotel sector

Abstract

In this paper, we analyze the effect of labour flexibility on productivity in the Andalusian hotel industry using raw data of our own database and applying an expanded version of the standard production function by distinguishing between part-time, temporary, and full-time labour inputs. Our results show that productivity is lower the higher the percentage of temporary and part-time workers and there are no differences between the impacts on productivity of both types of labour contract. Future studies should analyze the differential impact of all the types of contracts discussed on the mean cost per employee in this sector.