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Privatization and Labour. What Happens to Workers When Governments Divest?

Author

Listed:
  • Kikeri, S.

Abstract

Countries the world over have launched ambitious privatization programs to improve the efficiency of state enterprises, free up resources for social services, and mobilize capital for expansion and modernization. A universal concern in this process is the effect privatization has on labor. Many observers fear that privatization will cause major job losses as new owners of privatized firms shed excess labor to improve efficiency and as divesting governments cut the workforce to prepare for privatization.

Suggested Citation

  • Kikeri, S., 1998. "Privatization and Labour. What Happens to Workers When Governments Divest?," Papers 396, World Bank - Technical Papers.
  • Handle: RePEc:fth:wobate:396
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    Citations

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    Cited by:

    1. John S. Earle & Almos Telegdy, 2007. "Ownership and Wages: Estimating Public-Private and Foreign-Domestic Differentials with LEED from Hungary, 1986–2003," Upjohn Working Papers and Journal Articles 07-134, W.E. Upjohn Institute for Employment Research.
    2. World Bank, 2006. "Approaches to Private Participation in Water Services : A Toolkit," World Bank Publications, The World Bank, number 6982, June.
    3. Earle, John S. & Telegdy, Álmos, 2007. "Ownership and Wages: Estimating Public-Private and Foreign-Domestic Differentials Using LEED from Hungary, 1986–2003," IZA Discussion Papers 3125, Institute for the Study of Labor (IZA).
    4. Operations Evaluation Department, 2005. "Evaluating a Decade of World Bank Gender Policy : 1990-99," World Bank Publications, The World Bank, number 7375, June.
    5. J. David Brown & John S. Earle & Almos Telegdy, 2005. "Does Privatization Hurt Workers? Lessons from Comprehensive Manufacturing Firm Panel Data in Hungary, Romania, Russia, and Ukraine," Upjohn Working Papers and Journal Articles 05-125, W.E. Upjohn Institute for Employment Research.
    6. Jaimovich, Esteban & Rud, Juan Pablo, 2014. "Excessive public employment and rent-seeking traps," Journal of Development Economics, Elsevier, vol. 106(C), pages 144-155.
    7. Brown, J. David & Earle, John S. & Vakhitov, Volodymyr, 2006. "Wages, layoffs, and privatization: Evidence from Ukraine," Journal of Comparative Economics, Elsevier, vol. 34(2), pages 272-294, June.
    8. repec:eee:crpeac:v:21:y:2010:i:5:p:428-442 is not listed on IDEAS
    9. Lakshmi Iyer & Xin Meng & Nancy Qian & Xiaoxue Zhao, 2013. "Economic Transition and Private-Sector Labor Demand: Evidence from Urban China," Harvard Business School Working Papers 14-047, Harvard Business School, revised Apr 2016.
    10. El-hadj Bah & Josef C. Brada, 2014. "Labor Markets in the Transition Economies: An Overview," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 11(1), pages 3-53, June.
    11. Clive Harris, 2003. "Private Participation in Infrastructure in Developing Countries : Trends, Impacts, and Policy Lessons," World Bank Publications, The World Bank, number 15124, June.
    12. Public-Private Infrastructure Advisory Facility, 2004. "Labor Issues in Infrastructure Reform : A Toolkit, Module 1," World Bank Publications, The World Bank, number 15020, June.
    13. World Bank, 2003. "The Russian Labor Market : Moving from Crisis to Recovery," World Bank Publications, The World Bank, number 15007, June.
    14. Asiedu, Kofi Fred & Folmer, Henk, 2007. "Does Privatization Improve Job Satisfaction? The Case of Ghana," World Development, Elsevier, vol. 35(10), pages 1779-1795, October.
    15. World Bank, 2005. "Azerbaijan : Enterprise Restructuring and Labor Redeployment, Volume 1, Main Report," World Bank Other Operational Studies 8751, The World Bank.

    More about this item

    Keywords

    PRIVATIZATION ; LABOUR ; WORKERS;

    JEL classification:

    • L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Comparison of Public and Private Enterprise and Nonprofit Institutions; Privatization; Contracting Out
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General

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