Employment Protection Legislation in Russia: Regional Enforcement and Labour Market Outcomes

The efficiency of the labour market critically depends on the design of its institutions with employment protection legislation (EPL) playing a special role here. However, since formal laws can be observed or ignored to varying degrees, the actual enforcement regime shapes incentives and constraints. Most of the studies exploring EPL effects on labour market performance implicitly assume that EPL compliance is near to complete and therefore all firms bear full adjustment costs incurred by the regulations. This seems to be a very strong assumption for any country but it sounds especially strong and hardly plausible for developing and transition economies. But if compliance and enforcement varies widely across regions/cities or segments of firms, then this variation is likely to cause variation in performance. This paper looks at Russia in particular. The main idea of this paper is to reveal and describe cross-regional and inter-temporal variation in EPL enforcement and to explore empirically whether it is translated into regional labour market outcomes. The paper employs unique data set based on the State Labour Inspectorate data and the Supreme court statistics on labour disputes.employment protection regulations, enforcement, employment, unemployment, regional labor markets

Stuck Between Surplus and Shortage: Demand for Skills in the Russian Industry

In order to remain competitive, firms need to keep the quantity and composition of jobs close to the optimal for their given output. Since the beginning of the transition period, Russian industrial firms have been widely reporting that the quantity and composition of hired labor is far from being close to optimal. This paper discusses what kinds of firms in the Russian manufacturing sector are not able to optimize their employment and why. Do they suffer from a labor shortage induced by rapid growth, or are they still struggling with employment overhang? What are the occupations and skills in which there is a supposed surplus or shortage? What factors affect the probability that a firm will report non-optimal employment and be unable to solve this difficulty? Where is the labor excess/shortage concentrated and what makes it persistent? Finally, we discuss the costs of non-optimal employment. The analysis presented in this article is based on the data from a large-scale survey of Russian manufacturing firms.

Russian Manufacturing Revisited: Industrial Enterprises at the Start of the Crisis

The paper is based on the findings of a major project by the Higher School of Economics Institute for Industrial and Market Studies (IIMS) to monitor competitiveness of manufacturing enterprises. The study focuses on the drivers and dynamics of business competitiveness, including changes in firms’ behavior during the period before the crisis (2005-2008). The primary issue was to find out what firms and to what extent succeeded in capitalizing on the strong economic growth before the crisis to catch up with their competitors and gain a sustainable competitive position in the market. What was driving output increases and enhanced production efficiency? What were the impediments to this process

Co-optation & Clientelism: Nested Distributive Politics in China’s Single-Party Dictatorship

What explains the persistent growth of public employment in reform-era China despite repeated and forceful downsizing campaigns? Why do some provinces retain more public employees and experience higher rates of bureaucratic expansion than others? Among electoral regimes, the creation and distribution of public jobs is typically attributed to the politics of vote buying and multi-party competition. Electoral factors, however, cannot explain the patterns observed in China’s single-party dictatorship. This study highlights two nested factors that influence public employment in China: party co-optation and personal clientelism. As a collective body, the ruling party seeks to co-opt restive ethnic minorities by expanding cadre recruitment in hinterland provinces. Within the party, individual elites seek to expand their own networks of power by appointing clients to office. The central government’s professed objective of streamlining bureaucracy is in conflict with the party’s co-optation goal and individual elites’ clientelist interest. As a result, the size of public employment has inflated during the reform period despite top-down mandates to downsize bureaucracy.Peer Reviewedhttp://deepblue.lib.umich.edu/bitstream/2027.42/116599/1/Ang, Cooptation & Clientelism, posted 2016-01.pdfDescription of Ang, Cooptation & Clientelism, posted 2016-01.pdf : First Onlin

Distributional impact of taxes and social transfers in Russia over the downturn

Low oil prices and the recession in Russia which started in 2014 are increasing pressures for fiscal consolidation, after more than a decade of prosperity. This paper assesses the distributional impact of the main tax and social spending programs in Russia in 2014 by applying a state-of-the-art incidence analysis. Overall, the Russian welfare state achieves a moderate reduction in inequality through tax-benefit policies by international standards. Most redistribution occurs through pensions. Major limits on the redistributive effect of tax-benefit policy include the large share of tax revenues that come from (regressive) indirect taxes, the neutral impact of personal income taxes and the low share of spending that goes on social assistance targeted to low-income groups. Tax-benefit policy also has an important impact on the age distribution of income, as households of working-age people (with and without children) subsidize pensioner households

Divorce Trends in Seven Countries Over the Long Transition from State Socialism: 1981–2004

The collapse of communism was a defining geopolitical event of late-20th century Europe, with well-documented economic, social, and political implications. Yet there is a striking absence of research on how it influenced divorce. The objective of this study is to provide an exploratory analysis of trends in divorce over the long transition from communism—starting from the decline of the communist economy in the 1980s and ending with economic revival—in seven countries: Bulgaria, Estonia, Hungary, Lithuania, Poland, Romania, and Russia. We discuss how the transition could be expected to either increase or decrease divorce risks. We analyze retrospective micro-level data on first marriages from the Changing Life Course Regimes in Eastern Europe (CLiCR) dataset. Based on our event-history analyses, we find that divorce rates increased in each country at some stage during the long transition and these increases cannot be explained by compositional change of the marriages. However, no uniform pattern emerged in the timing and duration of the increase in divorce risk. This striking variation leads us to conclude that even the effect of major societal ruptures is contextually contingent

I know people who can and who cannot: A measure of the perception of economic inequality in everyday life

Versión preprintThis paper describes the development of the Perceived Economic Inequality in Everyday Life (PEIEL) scale. It is written and validated in Spanish. We first carried out an exploratory study, using a sample of 205 participants (52.2% men and 47.8% women; age: M = 24.69, SD = 8.95). We then conducted a confirmatory study with a sample size of 215 individuals (43.7% men and 56.3% women; age: M = 23.83, SD = 6.46). Results showed that the PEIEL scale is a valid and reliable unidimensional instrument. This scale negatively predicted tolerance of economic inequality over and above perceived inequality measured by wage gap estimates. In addition, perceived economic inequality in everyday life was negatively associated with tolerance of inequality, particularly in individuals with right-wing political ideology.Universidad de Costa Rica/[OAICE-006-2017]/UCR/Costa RicaUCR::Sedes Regionales::Sede de Occident