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The Impact of Advance Notice of Plant Closings on Earnings and the Probability of Unemployment

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  • Stephen Nord
  • Yuan Ting

Abstract

The authors analyze data from the 1988 CPS Displaced Workers Survey to assess the effects of written advance notice of plant closings on post-displacement employment and earnings. The results suggest that notification was effective in reducing reemployment earnings losses and the probability of post-displacement unemployment only when it was given at least two months before the plant closing. This finding, the authors conclude, confirms that the 60-day advance notice of plant closings required of large employers by the Worker Adjustment and Retraining Notification Act of 1988 is appropriate.

Suggested Citation

  • Stephen Nord & Yuan Ting, 1991. "The Impact of Advance Notice of Plant Closings on Earnings and the Probability of Unemployment," ILR Review, Cornell University, ILR School, vol. 44(4), pages 681-691, July.
  • Handle: RePEc:sae:ilrrev:v:44:y:1991:i:4:p:681-691
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    Cited by:

    1. Meekes, Jordy & Hassink, Wolter, 2017. "The Role of the Housing Market in Workers' Resilience to Job Displacement after Firm Bankruptcy," IZA Discussion Papers 10894, Institute of Labor Economics (IZA).
    2. Meekes, Jordy & Hassink, Wolter H.J., 2019. "The role of the housing market in workers′ resilience to job displacement after firm bankruptcy," Journal of Urban Economics, Elsevier, vol. 109(C), pages 41-65.
    3. J. Meekes & W.H.J. Hassink, 2016. "The role of the housing market in workers’ resilience to job displacement after firm bankruptcy," Working Papers 16-10, Utrecht School of Economics.

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