Globalization and Protection of Employment
Abstract
Unionists and politicians frequently claim that globalization lowers employment protection of workers. This paper tests this hypothesis in a panel of 28 OECD countries from 1985 to 2003, differentiating between three dimensions of globalization and two labor market segments. While overall globalization is shown to loosen protection of the regularly employed, it increases regulation in the segment of limited-term contracts. We find the economic one to drive deregulation for the regularly employed, but the social one to be responsible for the better protection of workers in atypical employment. We offer political economy arguments as explanations for these differential effects.Download Info
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Paper provided by KOF Swiss Economic Institute, ETH Zurich in its series KOF Working papers with number 09-238.Length: 59 pages
Date of creation: Sep 2009
Date of revision:
Handle: RePEc:kof:wpskof:09-238
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Keywords: Globalization; international trade; integration; employment protection; labor standards; unions; cross-country analysis; panel data analysis;Other versions of this item:
- Fischer, Justina AV & Somogyi, Frank, 2009. "Globalization and Protection of Employment," MPRA Paper 17535, University Library of Munich, Germany.
- Fischer, Justina A.V. & Somogyi, Frank, 2012. "Globalization and protection of employment," MPRA Paper 39426, University Library of Munich, Germany.
- C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
- F15 - International Economics - - Trade - - - Economic Integration
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions
- J83 - Labor and Demographic Economics - - Labor Standards - - - Workers' Rights
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-10-31 (All new papers)
- NEP-BEC-2009-10-31 (Business Economics)
- NEP-INT-2009-10-31 (International Trade)
- NEP-LAB-2009-10-31 (Labour Economics)
- NEP-REG-2009-10-31 (Regulation)
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Fischer, Justina A.V., 2012.
"Globalization and Political Trust,"
MPRA Paper
36327, University Library of Munich, Germany.
- Fischer, Justina A.V., 2012. "Globalization and Political Trust," MPRA Paper 36692, University Library of Munich, Germany.
- Fischer, Justina AV, 2012. "Globalization and political trust," MPRA Paper 37763, University Library of Munich, Germany.
- Fischer, Justina A.V., 2012. "The choice of domestic policies in a globalized economy," MPRA Paper 36990, University Library of Munich, Germany.
- Niklas Potrafke, 2013. "Globalization and Labor Market Institutions: International Empirical Evidence," Ifo Working Paper Series Ifo Working Paper No. 154, Ifo Institute for Economic Research at the University of Munich.
- Fischer, Justina A.V., 2012. "Globalization and social networks," MPRA Paper 40404, University Library of Munich, Germany.
- Fischer, Justina A.V., 2012. "The choice of domestic policies in a globalized economy: Extended Version," MPRA Paper 37816, University Library of Munich, Germany.
- Zohal Hessami & Thushyanthan Baskaran, 2013. "Has Globalization Affected Collective Bargaining? An Empirical Test, 1980-2009," Working Paper Series of the Department of Economics, University of Konstanz 2013-02, Department of Economics, University of Konstanz.
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