The Impact of Non-Wage Benefits on Job Quality and Labor Market Outcomes in the Developing World : What Do We Know?
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World Bank, Washington, DC
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One indicator of job quality in the
developing world is the extent to which workers are covered
by nonwage mandated benefits. Mandated benefits are a class
of labor market regulation that requires employers to
provide their workers with some form of non-wage pay or
benefits. These benefits are typically fully financed by the
employer or the employer-worker pair, and administered at
the firm level. This note summarizes the existing knowledge
and research on the effects of providing higher mandated
benefits on labor market outcomes. In particular, the
authors focus on the evidence available for developing
economies. The authors discuss the potential advantages and
drawbacks of providing mandated benefits (as implied by
economic theory), summarize some of the existing empirical
literature on the impact of mandated benefits. This note
sets out to introduce some of the theory and existing
literature about mandated benefits, and to draw attention to
the need for more research about the impact of this type of policy.
Palabras clave
AGGREGATE EMPLOYMENT, ANTIDISCRIMINATION, ANTIDISCRIMINATION LEGISLATION, BUSINESS CYCLES, CHILD-BEARING, CHILDBEARING, CHILDBIRTH, COMPENSATION, COMPENSATION PACKAGE, COMPENSATION PACKAGES, COMPETITIVE MARKETS, DEADWEIGHT, DEADWEIGHT LOSSES, DEMAND CURVES, DEVELOPING COUNTRIES, ECONOMIC RESEARCH, ECONOMIC THEORIES, ECONOMIC THEORY, EFFICIENCY BENEFITS, EMPLOYEE, EMPLOYMENT, EMPLOYMENT COMPOSITION, EMPLOYMENT EFFECT, EMPLOYMENT EFFECTS, EMPLOYMENT POLICY, EMPLOYMENT RATES, FEMALE, FIRM LEVEL, FIRM SIZE, FUTURE RESEARCH, GENDER, GOVERNMENT PROGRAMS, HEALTH CARE, HEALTH INSURANCE, HOME, HUMAN CAPITAL, INFANT, INFANT HEALTH, INFORMAL ECONOMY, INFORMAL EMPLOYMENT, INFORMAL SECTOR, JOB LOSSES, LABOR COST, LABOR ECONOMICS, LABOR FORCE, LABOR FORCE ATTACHMENT, LABOR FORCE PARTICIPATION, LABOR LAW, LABOR LEGISLATION, LABOR MARKET, LABOR MARKET FLEXIBILITY, LABOR MARKET IMPACT, LABOR MARKET INSTITUTIONS, LABOR MARKET OUTCOMES, LABOR MARKET REGULATION, LABOR MARKET REGULATIONS, LABOR MARKETS, LABOR REGULATIONS, LABOR SUPPLY, LAWS, LESS DEVELOPED COUNTRIES, MANDATED BENEFIT, MANDATED BENEFITS, MANDATES, MATERNITY BENEFITS, MATERNITY LEAVE, MINIMUM WAGE, MINIMUM WAGES, PARENTAL LEAVE, PARTICIPATION OF WOMEN, PAYROLL TAX, PAYROLL TAXES, POSITIVE EFFECTS, PREGNANCY, PRIVATE SECTOR, PRIVATE SECTOR JOBS, PRODUCTIVITY, PUBLIC HEALTH, REAL WAGE, RULE OF LAW, SICK LEAVE, SOCIAL SECURITY, TAXATION, TEEN, TRANSPORTATION, UNEMPLOYED, UNEMPLOYED WORKERS, UNEMPLOYMENT, UNEMPLOYMENT INSURANCE, UNEMPLOYMENT INSURANCE PROGRAM, UNEMPLOYMENT INSURANCE SYSTEM, UNINTENDED EFFECTS, VALUATION, WAGE EFFECTS, WAGE STRUCTURE, WILL, WOMAN, WOMEN OF CHILD-BEARING AGE, WOMEN OF CHILDBEARING AGE, WORKER, WORKERS, WORKFORCE, WORKING POPULATION