Temporary and other workers who have worked for a company for two years are normally able to upgrade their contracts to permanent status.
Thus, an interesting issue is whether a similar result holds when allowing for limited severance pay for permanent workers and the possibility of upgrading temporary contracts to permanent contracts within the same job as in Cahuc and Postel-Vinay (2002) and Bentolila et al.
However, their interpretation of this negative effect relies on the fixed-term nature of temporary contracts, which reduces the returns to training, without considering the possibility that firms may have of retaining temporary workers by upgrading their contracts to permanent contracts, like in Spain.
In fact, since these data were collected, central government has been following up on an earlier promise to convert those on contract (including both PTT and local contracts) to permanent civil service status by the end of 2009; the major beneficiaries will be nurses on local contract and midwives on PTT.
Table 8 Estimates of the hazard of leaving unemployment Expansion Recession Exit to temporary contract Exit to permanent contract Exit to temporary contract Exit to permanent contract Coeff.
They have applied the concept of a transition matrix in their studies to analyse, for example, the probability of moving from one fixed-term contract to a permanent contract.
Another woman employee told MPs of an occasion on which she says she was promised the chance to be promoted from an agency contract to a permanent job, in return for sexual favors.
After decentralization the central government continued to control permanent civil servants and, in the last two years, has moved to convert the contract staff to permanent civil servants.
However, central government has recently moved to regain control over essentially all public sector staff by converting PTT and contract staff to permanent civil servants.
The decision by the central government to convert almost all contract staff to permanent civil servants means that districts have lost almost all flexibility with respect to their most important resource category.
However, apart from the government's reluctance to use the funds in this way, the government has severely limited its capacity to maneuver by recently converting contract staff to permanent civil servants [ 1].
