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Journal of Financial and Quantitative Analysis Vol. 59 No. 4 2024

Corporate Hiring Under COVID-19: Financial Constraints and the Nature of New Jobs

Murillo Campello; Gaurav Kankanhalli; Pradeep Muthukrishnan

open access

Abstract

Big data on job postings reveal multiple facets of the impact of COVID-19 on corporate hiring. Firms disproportionately cut new hiring for high-skill positions, with financially constrained firms reducing skilled hiring the most. Applying machine learning methods to job-ad texts, we find that firms have skewed their hiring toward operationally-core functions. New positions display greater flexibility regarding schedules and tasks. While job posting levels show signs of recovery starting in late-2020, changes to job descriptions and skill profiles persist through early-2022. Financial constraints amplify these changes, with constrained firms’ new hires witnessing greater adjustments to job roles and employment arrangements.

DOI
10.1017/s0022109023000522
Volume
59
Issue
4
Pages
1541-1585
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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