How do economic conditions influence labor market segmentation?

Economic conditions play a significant role in labor market segmentation, which means that different groups of workers are treated differently in the job market. When the economy is strong, there are often many job opportunities, leading to less segmentation as employers may need to hire from a broader pool of applicants. However, during tough economic times, companies may focus on hiring cheaper labor or may favor certain groups of workers, creating a divide between those with stable jobs and those in temporary or low-paying positions. For example, during a recession, a company might prefer to hire younger workers willing to accept lower wages, leaving older workers with more experience struggling to find jobs. This shows how economic conditions can create barriers and unequal opportunities in the labor market.