The Effect of No-poaching Restrictions on Worker Earnings in Franchised Industries

Creating Data from Unstructured Text with Context Rule Assisted Machine Learning (CRAML)

“…Both no poach and non-compete clauses are known to place downward pressure on wages [31,17]. Given their importance in reducing opportunities for job mobility, there is great interest in descriptive statistics regarding the prevalence of these clauses.…”

“…Following the release of the working paper, eleven state attorneys general issued a letter in 2018 demanding the practice end, many franchises voluntarily ended the practice, and the State of Washington in 2018 first negotiated settlements with franchise companies in which many removed their no poach clauses. 3 No poach clauses place downward pressure on wages (Callaci et al 2022;Balasubramanian et al 2022). Given their importance in reducing opportunities for job mobility, descriptive statistics regarding the prevalence of these clauses are of great interest.…”

Online Job Posts Contain Very Little Wage Information

“…We believe the explosion in the sheer number of posts in BGT data reflects the de-duplication algorithm failing once the same post has different (imputed) wages on different job boards. Lafontaine et al (2023) and Callaci et al (2023) carefully remove posts with words like "estimated" indicating imputation. Lafontaine et al (2023) There are two main issues concerning whether or not the data are representative of job openings in the US.…”