Levelling the Playing Field: The Effects of Slovenia's 2013 Labour Market Reform

Matija Vodopivec (), Suzana Laporšek and Milan Vodopivec
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Matija Vodopivec: University of Primorska

No 9783, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We examine the effects of a 2013 labour market reform in Slovenia which made permanent contracts less restrictive and fixed-term contracts more restrictive. Using matched employer-employee database covering the entirety of Slovenia's labour market participants, we compare the difference in outcomes for workers employed under permanent vs. fixed-term contracts before and after the legislative change. We find that the reform achieved both its stated goals of reducing labour market segmentation and improving access to jobs for vulnerable groups: (i) it increased the probability of accessing permanent jobs via transitions from both fixed-term jobs and unemployment, and (ii) it improved the accessibility of permanent jobs for both young and old workers.

Keywords: labor market dynamics; employment protection legislation; labor market segmentation (search for similar items in EconPapers)
JEL-codes: J62 J63 J68 (search for similar items in EconPapers)
Pages: 29 pages
Date: 2016-02
New Economics Papers: this item is included in nep-eur and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published - published in: Economic and Business Review, 2019, 21(1).

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