Job Quality in Huila: Exploring Its Determinants

Abstract

The document addresses the quality of employment in the department of Huila, Colombia, aiming to analyze the factors that determine the working conditions of workers in this region. The study highlights the high rate of informality, which negatively affects the quality of employment and is especially prevalent in Neiva, the department's capital. Utilizing data from the 2023 Gran Encuesta Integrada de Hogares (GEIH), the analysis is based on statistical tools such as Principal Component Analysis (PCA) and an ordered probit model to create an index that measures the quality of employment. The study considers various variables, such as the type of contract, salary, paid vacations, social security affiliation, and job stability. The results show that educational levels, access to labor benefits, and the type of contract play crucial roles in determining the quality of employment. It also becomes evident that academic policies and employment formalization are fundamental for improving working conditions in the department. The analysis concludes that the quality of employment in Huila is low, with a maximum score of 65 points on a scale of 100, indicating medium-low quality jobs. Efforts should focus on promoting education, generating formal employment, and implementing public policies to improve the department's employment quality.