THE IMPACT OF LABOR MARKET REGULATION ON EMPLOYMENT IN LOW‐INCOME COUNTRIES: A META‐ANALYSIS

Controversy over labor market policy often centers on achieving a balance between preventing worker exploitation, and avoiding loss of productivity or employment through excessive regulation. Although the literature documenting the impact of labor market regulation on employment is extensive, there is a dearth of evidence on the impact of such policies in low‐income countries (LICs). Since it is easier for workers, especially women, to slip into the informal sector in LICs, regulations are likely to have stronger impacts on formal employment in these countries (but lower impacts on unemployment). We systematically reviewed available research from countries that are, or were until recently, LICs. Most studies document that more stringent labor regulations are associated with lower formal sector employment and higher informal sector employment. We also conducted a metaregression analysis of the impact of minimum wages on formal and informal employment. After controlling for publication bias, higher minimum wages are associated with lower formal employment and a higher share of informal workers.     

Do I Really Want to Work Here? Testing a Model of Job Pursuit for MBA Interns

Job pursuit refers to the intentions, decisions, or behaviors indicative of a candidate's interest in a particular employer. This study develops and tests a process model of job pursuit for MBA interns with data collected before, during, and after their internships. Our model integrates theory from the person‐environment fit and organizational socialization literature. Results show pre‐entry person‐organization (P‐O) fit and social aspects tactics jointly motivate proactive information seeking about the employer (from those inside and outside the assigned department) during the internship, and interactively motivate information seeking outside the assigned department. Yet, only information seeking inside the assigned department is related to learning about the employer. Learning about the employer also predicts job‐acceptance intentions, which in turn predicts job‐acceptance decisions. The model developed in this study should serve as a guide to help human resource managers understand job pursuit and acceptance in internships and other similar employment relationships. © 2014 Wiley Periodicals, Inc.