This paper reviews evidence from both industrialized and developing countries on the re1ationship between labour market flexibility and employment. It is argued that the notion of flexibility and its impact is often oversimplified. The evidence, such as it is, does not provide much support for the view that greater flexibility results in higher employment. There is more evidence for an impact on the distribution of employment among different groups of the population, but also effects which vary widely between countries. Flexibility needs to be considered within a wider framework of policies and institutions to promote decent work.
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Paper provided by United Nations, Department of Economics and Social Affairs in its series Working Papers with number
47.
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