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Institutions and labor market outcomes in Sub-Saharan Africa

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  • Fox, Louise
  • Oviedo, Ana Maria

Abstract

The authors use firm-level surveydata from the manufacturing sector in 20 Sub-Saharan African countries to explore the links between labor market regulations and net job creation. A first look at firm characteristics, perceptions, and the dynamics of employment at the firm level suggests that labor regulations are not the main"binding constraint"on job creation. Other issues seem more important at this level of development. The analysis estimates the determinants of net job creation incorporating the legal origin of the country as a proxy for regulation. The findings show that, after controlling for other firm-level characteristics, legal origin is uncorrelated with net job creation in the short run.

Suggested Citation

  • Fox, Louise & Oviedo, Ana Maria, 2008. "Institutions and labor market outcomes in Sub-Saharan Africa," Policy Research Working Paper Series 4721, The World Bank.
    • Handle: RePEc:wbk:wbrwps:4721
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    References listed on IDEAS

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    1. repec:ilo:ilowps:460940 is not listed on IDEAS
    2. Cazes, Sandrine. & Verick, Sher., 2010. "What role for labour market policies and institutions in development? : enhancing security in developing countries and emerging economies," ILO Working Papers 994609403402676, International Labour Organization.
    3. Fox, Louise & Oviedo, Ana Maria, 2008. "Are skills rewarded in Sub-Saharan Africa ? determinants of wages and productivity in the manufacturing sector," Policy Research Working Paper Series 4688, The World Bank.
    4. Yoonyoung Cho & David N. Margolis & David Newhouse & David A. Robalino, 2012. "Labor Markets in Low and Middle-Income Countries : Trends and Implications for Social Protection and Labor Policies," World Bank Publications - Reports 13550, The World Bank Group.
    5. Altenburg, Tilman, 2017. "Arbeitsplatzoffensive für Afrika," IDOS Discussion Papers 23/2017, German Institute of Development and Sustainability (IDOS).
    6. Alexander Krauss, 2015. "Creating and destroying jobs across East Asia Pacific: a country-level analysis on wages, exports, finance, regulation and infrastructure," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-24, December.

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    Keywords

    Labor Markets; Labor Policies; Microfinance; Banks&Banking Reform; Labor Management and Relations;
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