This paper analyzes the influence of unemployment on occupational reinsertion, specifically on the wage earned by the workers who transitioned from unemployment to being employed. Using sample data from Monthly Employment Survey (PME, 2000), from Brazil, and quantile regression techniques, this study provides evidence about the relationship between duration of unemployment and wage loss. The results show a heterogeneous chance to remain unemployed, in favor, mainly, of less qualified workers, and, in addition, wage losses are observed when the employed find a new job (occupational reinsertion). Moreover, in general, workers who have more qualification are more penalized, regardless of the quantile conditional wage distribution they are in, indicating a greater loss for employees in jobs that require higher qualification.
unemployment; occupational reinsertion; wage; reservation wage
