 Institutional Rigidities and Their Effects on Labor Demand in TurkeySelçuk Gül Sosyoekonomi Journal, 2013, issue 20(20) Abstract: This study analyzes the effects of one of the institutional rigidities in Turkish labour market; job security regulations introduced with new labour code legislated in 2003, on the labour demand. By examining the periods before and after the year 2003 with panel data methods, the changes in the responsiveness of labour demand to the changes in labour costs are investigated. In the study in which TURKSTAT Manufacturing Industry Statistics are used, it is found that the responsiveness of labour demand to the changes in labour costs increased after 2003. It is concluded that the labour costs and job security regulations which influence these costs indirectly are effective on the hiring and firing decisions of employers. When a distinctive analysis based on gender is made, it is found that while the results related demand for male workers are similar with the total demand estimates; the demand for female workers does not have a significant response to the changes in labour costs. Estimates in which the openness variable is included show that openness effects labour demand in negative direction. Keywords: Job Security Regulations; Labour Demand; Panel Data Analysis. (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:sos:sosjrn:130204 Access Statistics for this article More articles in Sosyoekonomi Journal from Sosyoekonomi Society Cihan St. 27/7 06430 Sihhiye Ankara Turkey. |
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