finally employers in some countries appear to be showing a greater propensity to hoard labour than in past recessions by reducing the increase in unemployment greater reliance on hours adjustment may tend to reduce the buildup of the number of longterm unemployed during the recession and the number of workers withdrawing from the labour force or postponing labour market entry due to poor jobsearch prospects indirectly reducing hysteresis effects however that need not be the case labour market segmentation could be further heightened by increased labour hoarding if the resulting reduction in labour turnover rates places unemployed job seekers at a heightened risk of longterm unemployment even though there are fewer of them