Description

This paper analyzes the labor market dynamics in Chile using micro data from the unemployment insurance data base. Labor market flows between labor status, between geographical areas and economic sectors are calculated. It is found that a high percentage of workers change jobs without going through unemployment. The sectors of Construction, Entrepreneurial activities, Commerce and Agriculture generate 54% of job switching, creation and destruction dynamics. In addition, among those workers who change jobs, about 70% leave the district where they used to work. However, if the analysis is done not considering the metropolitan region, this percentage drops by half. Finally, the metropolitan region is where most workers migrate to, and where most jobs are created and destroyed.