Factors Influencing Secondary Employment in Germany: An Overview

Abstract

In Germany, a significant number of individuals choose to take on additional jobs alongside their primary employment. The decision to seek a second job is influenced by various factors, including personal needs such as the desire to enhance one’s material status, family circumstances, and the opportunities linked to human capital. This study investigates these motivations while also considering demographic factors like age, gender, and place of residence, as well as characteristics of the primary workplace. However, not all determinants of holding a second job are easily observable, as some influences remain unmeasured or generally unobservable. To address these complexities, this study employed models that account for unobservable heterogeneity, which are particularly relevant for analyzing such multifaceted phenomena. The primary aim of this paper was to outline the demographic profile of individuals who engage in dual employment by assessing the impact of selected factors on the likelihood of having a second job. The study further explores the varying influence of these determinants between men and women, offering a comparative analysis of the gender-specific factors driving the decision to take on additional work. To achieve these objectives, the research utilized a Bayesian logistic regression model, which allowed for a nuanced understanding of the predictors of secondary employment. The findings provide a detailed demographic profile of two-job workers in Germany, highlighting the distinct factors that influence men and women differently in their decision to pursue additional employment. This analysis contributes to a broader understanding of the labor market dynamics in Germany, offering insights into the socio-economic and demographic factors that compel individuals to seek multiple sources of income. The results have implications for policymakers and labor market analysts interested in addressing the needs and challenges faced by dual jobholders in a modern economy.