What Have We Learned About The Employment Effects of Severance Pay? Further Iterations of Lazear et al

John Addison and Paulino Teixeira

No 2004-02, GEMF Working Papers from GEMF, Faculty of Economics, University of Coimbra

Abstract: In this study we examine the contribution of severance pay to employment and unemployment development using data on industrialized OECD countries. Our starting point is Lazear’s (1990) dictum that severance payment requirements adversely impact the labor market. We extend his sample period and add to his parsimonious specification a variety of fixed and time-varying labor market institutions. While the positive effect of severance pay on unemployment garners some support, there is no real indication of adverse effects for (the three) other employment outcomes identified here. Moreover, with the possible exception of collective bargaining coordination, the role of institutions is also more muted than suggested in the literature.

Pages: 34 pages
Date: 2004
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published in Empirica, 32(3), September 2005

Downloads: (external link)
https://docs.iza.org/dp943.pdf (application/pdf)

Related works:
Journal Article: What Have We Learned about the Employment Effects of Severance Pay? Further Iterations of Lazear Et al (2005)
Working Paper: What Have We Learned About the Employment Effects of Severance Pay? Further Iterations of Lazear et al (2003)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gmf:wpaper:2004-02

Access Statistics for this paper

More papers in GEMF Working Papers from GEMF, Faculty of Economics, University of Coimbra Contact information at EDIRC.
Bibliographic data for series maintained by Sofia Antunes ().