"This paper seeks to provide a theoretical explanation to the contradictory results found by the empirical literature concerning the effects of recent workplace organizational changes on job stability. We develop an endogenous job destruction model à la Mortensen-Pissarides (1994) where a modernizing firm may offer to the worker a tayloristic job (traditional organization) or a holistic job (modern organization). We then study the evolution of job stability during the transition from a tayloristic to a holistic organization. Our results point towards the importance of the restructuring costs supported by firms during the modernizing trajectory as the main factor responsible for the variations in job stability."

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