Dismissal Protection and Worker Flows in Small Establishments

Thomas Bauer (), Stefan Bender () and Holger Bonin ()

Economica, 2007, vol. 74, issue 296, 804-821

Abstract: Based on a large employer–employee matched data‐set, the paper investigates the effects of variable enforcement of German dismissal protection legislation on the employment dynamics in small establishments. Specifically, using a difference‐in‐differences approach, we study the effect of changes in the threshold scale exempting small establishments from dismissal protection provisions on worker flows. In contrast to the predictions of the theory, our results indicate that there are no statistically significant effects of dismissal protection legislation on worker turnover.

Date: 2007
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https://doi.org/10.1111/j.1468-0335.2006.00562.x

Related works:
Working Paper: Dismissal Protection and Worker Flows in Small Establishments (2004)
Working Paper: Dismissal protection and worker flows in small establishments (2004)
Working Paper: Dismissal Protection and Worker Flows in Small Establishments (2004)
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