More Rational, More Attractive: Industrial Structure Rationalization and Migrant Workers’ Employment Choices in China

Abstract

Industrial structure rationalization could affect not only the employment structure but also the micro-employment choices of the labor force. Using the national individual-level survey data, we examine how regional industrial structure rationalization influences the employment status and location choices of migrant workers respectively using a probit model. The results show that industrial structure rationalization can significantly increase the probability that migrant workers choose regular and cross-provincial employment and reduce the probability of intra-provincial labor mobility, self-employment, and temporary employment. Higher employee welfare and income are the main mechanisms underlying the effect on migrant workers’ employment choices. Furthermore, the effects of industrial structure rationalization on the employment status and location choices of migrant workers differ according to gender, family size, and industry. These findings deepen the understanding of the relationship between industrial structure rationalization and labor migration and offer references for governments to promote regional sustainable development.