Working Conditions, Transparency, and Compliance in Global Value Chains: Evidence from Better Work Jordan

Raymond Robertson

No 12794, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper estimates how compliance with national labor law and international labor standards within Jordan's garment exporting factories changed after the implementation of a transparency program that made compliance assessments publicly available. The estimation employs data from Better Work Jordan that cover all garment-exporting factories over the 2008-2018 period. Using a difference-in-difference approach that is often applied to control for endogeneity, this paper finds that compliance improved following the implementation of transparency. Compliance increased in a group of 28 critical compliance areas that represent fundamental worker rights relative to relevant comparison groups. The results are robust to a number of additional controls, definitions of the transparency period, and estimation approaches.

Keywords: global value chains; working conditions; transparency (search for similar items in EconPapers)
JEL-codes: J3 J5 J8 (search for similar items in EconPapers)
Pages: 43 pages
Date: 2019-11
New Economics Papers: this item is included in nep-ara, nep-int and nep-lma
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