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How Flexible are Labour Markets in the EU Accession Countries Poland, Hungary and the Czech Republic?

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  • Horst Feldmann

    (Department of Economics, University of Tübingen, Nauklerstr. 47, D-72074 Tübingen, Germany.)

Abstract

Over the next few years, Poland, Hungary and the Czech Republic will experience fundamental structural changes in their economies, not least because of their accession to the European Union. The economic adjustment processes that will take place in these countries require a high degree of labour market flexibility. This paper analyses whether the labour markets in Poland, Hungary and the Czech Republic are flexible enough for these processes to take place smoothly. In particular, it discusses the following areas: labour force participation, qualification and regional mobility of the labour force, wage-setting systems and statutory minimum wages, labour taxes, government regulations affecting working time and protection against dismissal, and public job-placement services. The paper reveals that there are impediments to labour market flexibility in all of these areas. It also shows that the specific rigidities vary from country to country, both in nature and in intensity. Comparative Economic Studies (2004) 46, 272–310. doi:10.1057/palgrave.ces.8100026

Suggested Citation

  • Horst Feldmann, 2004. "How Flexible are Labour Markets in the EU Accession Countries Poland, Hungary and the Czech Republic?," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 46(2), pages 272-310, June.
    • Handle: RePEc:pal:compes:v:46:y:2004:i:2:p:272-310
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    Citations

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    Cited by:

    1. William Dillinger, 2007. "Poverty and Regional Development in Eastern Europe and Central Asia," World Bank Publications - Books, The World Bank Group, number 6739, December.
    2. Dagmara Nikulin & Małgorzata Gawrycka, 2021. "Implementation of the Concept of Flexicurity in the Selected Countries of Central Eastern Europe," Ekonomista, Polskie Towarzystwo Ekonomiczne, issue 1, pages 118-141.
    3. Nölke, Andreas, 2011. "Transnational economic order and national economic institutions: comparative capitalism meets international political economy," MPIfG Working Paper 11/3, Max Planck Institute for the Study of Societies.
    4. Claude Mathieu & Yann Nicolas, 2006. "Coûts d'ajustement de la demande de travail : une comparaison entre la France et la République tchèque," Economie & Prévision, La Documentation Française, vol. 0(2), pages 135-152.
    5. Horst Feldmann, 2005. "Labour Market Institutions and Labour Market Performance in Transition Countries," Post-Communist Economies, Taylor & Francis Journals, vol. 17(1), pages 47-82.
    6. Dagmara Nikulin & Małgorzata Gawrycka, 2021. "Implementation of the Concept of Flexicurity in the Selected Countries of Central Eastern Europe," Ekonomista, Polskie Towarzystwo Ekonomiczne, vol. 1, pages 118-141, January.
    7. Pierella Paci & Erwin R. Tiongson & Mateusz Walewski & Jacek Liwinski & Maria M. Stoilkova, 2007. "Internal Labor Mobility in Central Europe and the Baltic Region," World Bank Publications - Books, The World Bank Group, number 6598, December.
    8. Marek Loužek & Jan SkopeČek, 2015. "Structural problems of the Czech economy," Post-Communist Economies, Taylor & Francis Journals, vol. 27(2), pages 233-246, June.
    9. Ignazio Angeloni & Michael Flad & Francesco Paolo Mongelli, 2005. "Economic and monetary integration of the new Member States - helping to chart the route," Occasional Paper Series 36, European Central Bank.
    10. Vera A. Adamchik & Josef C. Brada & Arthur E. King, 2009. "Are Transition Economy Workers Underpaid?," Working Papers 278, Leibniz Institut für Ost- und Südosteuropaforschung (Institute for East and Southeast European Studies).
    11. Randolph Luca Bruno, 2006. "Optimal speed of transition with a shrinking labour force and under uncertainty," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 14(1), pages 69-100, March.
    12. Kühnast, Julia, 2022. "Growth regimes of populist governments: A comparative study on Hungary and Poland," IPE Working Papers 199/2022, Berlin School of Economics and Law, Institute for International Political Economy (IPE).

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