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The Impact of Private Equity on Employment: The Consequences of Fund Country of Origin-New Evidence from France

Author

Listed:
  • Loris Guery

    (CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - UL - Université de Lorraine)

  • Anne Stévenot

    (CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - UL - Université de Lorraine)

  • Geoffrey Wood

    (University of Essex)

  • Chris Brewster

    (UOR - University of Reading, University of Vaasa, Radboud University [Nijmegen], ISCTE - University Institute of Lisbon)

Abstract

This article explores the country of origin effects of private equity investment on employment in France. Using propensity score matching methodology applied to establishment-level survey data, we find that foreign investors are significantly more likely to induce job shedding and employment insecurity than are French investors. As suggested by the literature on comparative capitalism, national differences may persist in conjunction with commonalities and trends in global capitalism.

Suggested Citation

  • Loris Guery & Anne Stévenot & Geoffrey Wood & Chris Brewster, 2017. "The Impact of Private Equity on Employment: The Consequences of Fund Country of Origin-New Evidence from France," Post-Print hal-01692901, HAL.
    • Handle: RePEc:hal:journl:hal-01692901
    DOI: 10.1111/irel.12193
    Note: View the original document on HAL open archive server: https://hal.univ-lorraine.fr/hal-01692901v1
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    Cited by:

    1. Blind, Georg D. & Lottanti von Mandach, Stefania, 2021. "Private Equity Buyouts in Japan: Effects on Employment Numbers," Journal of the Japanese and International Economies, Elsevier, vol. 59(C).
    2. Jonathan Labbé & Mélanie Robert, 2020. "English private equity financing and merger in Luxembourg: study of the cultural forces on the corporate governance of an SME in the Luxembourg financial sector [Financement par capital-investisseu," Post-Print hal-03000142, HAL.
    3. Olsson, Martin & Tåg, Joacim, 2018. "Are foreign private equity buyouts bad for workers?," Economics Letters, Elsevier, vol. 172(C), pages 1-4.
    4. Anne Stevenot & Loris Guery & Geoffrey Wood & Chris Brewster, 2018. "Country of Origin Effects and New Financial Actors: Private Equity Investment and Work and Employment Practices of French Firms," British Journal of Industrial Relations, London School of Economics, vol. 56(4), pages 859-881, December.
    5. Andersson, Ulf R. & Brewster, Chris J. & Minbaeva, Dana B. & Narula, Rajneesh & Wood, Geoffrey T., 2019. "The IB/ IHRM interface: Exploring the potential of intersectional theorizing," Journal of World Business, Elsevier, vol. 54(5), pages 1-1.
    6. John Buchanan & Dominic H. Chai & Simon Deakin, 2018. "Unexpected Corporate Outcomes from Hedge Find Activism in Japan," Working Papers wp494, Centre for Business Research, University of Cambridge.
    7. Jonathan Doh & Pawan Budhwar & Geoffrey Wood, 2021. "Long-term energy transitions and international business: Concepts, theory, methods, and a research agenda," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(5), pages 951-970, July.
    8. KUBO Katsuyuki & TSUBONO Kodai, 2022. "The Effect of Investment Funds on Employment and Wages," Discussion papers 22044, Research Institute of Economy, Trade and Industry (RIETI).
    9. Sakshi Sharma & Kunjana Malik & Manmeet Kaur & Neha Saini, 2023. "Mapping research in the field of private equity: a bibliometric analysis," Management Review Quarterly, Springer, vol. 73(1), pages 61-89, February.

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