The Effect of Employment Protection on Firms' Worker Selection

Butschek, Sebastian; Sauermann, Jan

doi:10.2139/ssrn.3390295

Cited by 2 publications

(2 citation statements)

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“…In support of a screening-based interpretation he shows that the size of the minimum wage effect on worker selection is monotonically increasing in the importance of pre-hire screening to the firm's hiring process. Though the policy change exploited by Butschek (2017) tightened rather than relaxed regulation his results are consistent with ours. Also relevant to our study are the findings of von Below and Skogman Thoursie (2010) and , who study the effects of the EPL reduction on labour turnover and firm 2 The finding in Kugler and Saint-Paul (2004) that stronger EPL decreases the chances of unemployed individuals is also similar to our conclusion.…”

Section: Introductionsupporting

confidence: 87%

“…Focusing on a different type of labor market regulation, Butschek (2017) investigates the effect of the 2015 introduction of a statutory minimum wage in Germany on firms' worker selection. He finds that the exogenous wage shock at the bottom of the wage distribution increased employers' hiring thresholds as proxied by their minimum hire quality.…”

Section: Introductionmentioning

confidence: 99%

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The effect of employment protection on firms’ worker selection

Butschek¹,

Sauermann

2022

J. Human Resources

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Any opinions expressed in this paper are those of the author(s) and not those of IZA. Research published in this series may include views on policy, but IZA takes no institutional policy positions. The IZA research network is committed to the IZA Guiding Principles of Research Integrity. The IZA Institute of Labor Economics is an independent economic research institute that conducts research in labor economics and offers evidence-based policy advice on labor market issues. Supported by the Deutsche Post Foundation, IZA runs the world's largest network of economists, whose research aims to provide answers to the global labor market challenges of our time. Our key objective is to build bridges between academic research, policymakers and society. IZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author.

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Section: Introductionsupporting

confidence: 87%

Section: Introductionmentioning

confidence: 99%

The effect of employment protection on firms’ worker selection

Butschek¹,

Sauermann

2022

J. Human Resources

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Returns to migration after job loss—The importance of job match

Kekezi

Boschma

2021

Environ Plan A

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Loss of specific human capital is often identified as a mechanism through which displaced workers might experience permanent drops in earnings after job loss. Research has shown that displaced workers who migrate out of their region of origin have lower earnings than those who do not. This paper extends the discussion on returns to migration by accounting for the type of jobs people get and how related they are to their skills. Using an endogenous treatment model to control for selection bias in migration and career change, we compare displaced stayers with displaced movers in Sweden. Results show that migrants who get a job that matches their occupation- and industry-specific skills display the highest earnings among all displaced workers. If migration is combined with a job mismatch, earning losses are instead observed. This group experiences the lowest earnings among all displaced workers.

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The Effect of Employment Protection on Firms' Worker Selection

Cited by 2 publications

References 17 publications

The effect of employment protection on firms’ worker selection

The effect of employment protection on firms’ worker selection

Returns to migration after job loss—The importance of job match

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