The impact of labour flexibility and HRM on innovation

Haibo Zhou, Ronald Dekker, Alfred Kleinknecht

Research output: Chapter in Book/Conference proceedingBook Chapterpeer-review

7 Citations (Scopus)


We investigate the impact of labour relations (including use of flexible labour and certain HRM practices) on a firm's innovative output. Using firm-level data for the Netherlands, we find that active HRM practices such as job rotation, performance pay, high qualification levels of personnel, as well as making use of employees with long-term temporary contracts contribute positively to innovative output, the latter being measured by the log of new product sales per employee. Furthermore, firms that retain high levels of highly qualified personnel are more likely to introduce products that are new to the market (other than only 'new to the firm'). Our findings contribute to the growing literature on determinants of innovative performance.

Original languageEnglish
Title of host publicationInnovation in Business and Enterprise
Subtitle of host publicationTechnologies and Frameworks
PublisherIGI Global
Number of pages12
ISBN (Print)9781615206438
Publication statusPublished - 2010
Externally publishedYes

ASJC Scopus subject areas

  • Business, Management and Accounting (all)


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